If index funds become the default investment of choice, will their value diminish?
That's why confidentiality and anonymity is crucial to a functioning market.
But total markets will still have other downsides, like all the stocks become completely correlated if enough people are only making investment decisions on the total market instead of individual stocks, and prices become less meaningful.
- 55% Vanguard Total Market Index
- 35% Vanguard Total Market International Index
- 10% mixture of Vanguard bond domestic and international index funds
Is there a better strategy out there besides index funds that doesn't involve me getting eaten alive with active fund fees? A lot of what I read suggests that actively managed funds never consistently outperform the market index.