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Jim Letourneau's Blog

Investing, Technology, Travel, Geology, Music, Golf. I think that covers it.

On Mutual Funds

The financial services industry has a stranglehold on the average North American investor. They are unlikely to let go, even in the face of scathing criticism from David F. Swensen, the chief investment officer at Yale University. His recent New York Times opinion piece, The Mutual Fund Merry-Go-Round, takes aim at the mutual fund industry.

For decades, the mutual fund industry, which manages more than $13 trillion for 90 million Americans, has employed market volatility to produce profits for itself far more reliably than it has produced returns for its investors.

It pays for investors to educate themselves about alternatives. They do exist.