Thanks to the virtues of equity index funds, which are broadly diversified, low-cost and tax-efficient, it only takes two funds to form a complete equity portfolio. Compounding over the long term takes care of the rest. That’s radical simplicity.
When we’re constantly inundated with breaking news and catchy headlines, it’s difficult to consider life beyond the daily news cycle. But a short-term mindset can destroy an investment portfolio. Paying attention to short-term market changes leads investors to imagine the worst possible outcomes and make terrible decisions.
