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this post was submitted on 29 Aug 2026
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Best Content of Lemmy
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I can't tell if you're joking or not.
Not joking, so I'll elaborate: although I still own them because they aren't a bad choice overall I believe index funds will likely not continue growing indefinitely and this period of history will prove to be exceptional, so I disagree with the narrative that it is always a better choice to trust them over your own judgment. Here's some possible reasons for this:
Yep. Keep in mind that investing in index funds was a successful strategy during a period when it was not so commonplace. When it becomes the norm the whole foundation of why it was successful changes.
You actually have to have people analysing companies and stocks, ie actively trading based on fundamentals, for it to work. Index investing is piggybacking in that. But when it becomes the driving force the market loses its ability to pick winners and gets dominated by momentum, and can be taken advantage of