S&P 500 vs Total Market Fund: What Is The Difference?

S&P 500 vs Total Market Fund: What Is The Difference?

[htimsrecneps]

I don't want a target retiremant fund because it has higher fees and has bonds. I think bonds are pointless to own at 25, especially when I have a mortgage. I'd be better off putting money into my mortgage than buying bonds.

[dougiequick]

My Father in Law was stupid with money but in the long run he died early of cancer anyway. He always sang this little song to my sons the lyrics of which were "Johnny Buck had money enough he locked in a storeroom and when he died he closed his eyes and never saw money no more" ....funny how his view worked out for him ...he never needed a retirement fund lol. My wife's Uncle on the other hand was a money guy and did EVERYTHING smart, hated physical risk and really condemned me because my hobby was riding and racing fast motorcycles . When he retired young he had loads of money and bought his idea of the perfect retirement home in a lovely scenic area....he barely had moved in when he began getting symptoms and then died very quickly of cancer ofesophageal cancer....man he was MAD saying things like "I don't DESERVE this! I did everything smart and right!" ...I don't know what my point is unless it has something to do with money not really being any kind of total security ...how much focus do you really want to put on money? I mean yeah be smart with your money up to a point if you have that luxury (some dont) but focus on LIVING and family more than money! I could fill this whole screen up with stuff about other friends and relatives re money but you get what I am saying right?

[AverageJoeInvestor]

*GREAT VIDEO GUYS* | I prefer the S&P 500 index myself because the expense ratio is MUCH LOWER. That being said, it’s MORE IMPORTANT to get the basic behavioral steps down 1st such as saving money and avoiding debt...but man, I hate fees... LOL GREAT VIDEO GUYS! 😎😎

[pacific-midwest]

S&P 500 is solid, but it's best paired with other holdings/indexes to achieve diversification that mitigates risk and captures new opportunities. I prefer the simplicity of a well established total market fund (Fidelity and Vanguard both have great products) as it allows me to focus on 'saving' as opposed to fund allocation, re-balancing, and other managerial tasks.

[LOLthisfun]

What do you mean to focus on saving rate, I'm putting 10% and doing ones with low expense ratios. Why would a target be good initially and not long term? I'm finally able to save a lot of my money and have 6 months emergency so why not just start allocating now and not using a target fund, the target fund for me has an expense ratio of 1.31? Also, I was able to graduate without any debt so I'm having trouble seeing why a target fund would make sense

[hulenbryant]

Looking at the SP500 funds (ex. VOO) and total US market (ex. VTI) they end up with very similar performances.

[MC-gjfg]

Target funds feel like they over invest in non-stock funds even for young people.

[shawn]

Young people might only have $3000 or so to invest so they would do best with massive diversification of a us total stock index fund (3600 companies) vs s&p 500. Especially starting out I wouldn't see a benefit of bonds (especially with the massive run up and 10 year bonds yielding 1.5%). Usually young people asking this question love to get into the details of how it works but yes generally people who don't care much target retirement fund is best

[brentwoodbc]

Should I invest in an s and p index mutual fund or an ETF?

[AK-kyou]

Pretty good advice, except when someone want 100% stocks. I kind of wish these companies would make 100% stock mix with the same as their target retirement minus bonds.

[alvinnguyen]

Invest into a mutual fund. Just got a bad ass dividend payment recently

[dougiequick]

Never even bothered to answer the question thumbs down sounded much more like a sales pitch than simply trying to answer legitimate questions ...personally I have made a ton of money in the no brainer index funds knowing it was not the best but why? because I HATE thinking about money....such a turn off. And I really can't stand friends that are wringing their hands all the time talking about their investment guy and always on the phone checking their pile ..I just want TOTAL no brainer forget about it without even having to listen to sales spiels which I mean there are so many agendas of so many people I frankly don't trust anyone in the business and I don't want to have to worry about that end of it...thanks for nothing ....

[cryptojohan]

Yeah these guys doesnt really know how to get to the answers.... skip them

[akin]

But but...I like VINIX, SWPPX, and FZROX.

[Maremare]

Bla bla bla, , , this guys can’t never go straight to the point 🙄

[naturalselectioninvesting]

Haha mentions tithing I wonder if you guys are Lds