RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:CJ and Nuttal
Kadiddelhopper wrote:
You almost never hear of wealthy OldTimers speaking of the wealth they accumulated through Mutual Funds... actually, I have never encountered a single wealthy person attribute their windfall to a Mutual Fund.
I fully agree, tho I did have to learn that and unfortunately I myself own a mutual fund, before I learned this lesson.
I got talked into investing my money when I was like 22-23 in an RRSP when I had a large amount of contribution room. I'm in a Manulife fund and in 13ish years it has more that doubled in value, but I've never added too it. In about 8 years of self directed investing full of many expensive mistakes, I've myself doubled what I've contributed to my investing adventure.
I remember when I was in my young teens my grandparents would teach me about things and my Grandfather told me to stay away from mutual funds. I took it with a grain of salt (and still do as they have thier place), but apparently he got told by a neighbour about getting into them and they did well, so when my grandfather put a large amount in, the fund lost almost half his value (I found his financial notebooks and a few statements he used to keep track after he passed away) and in less than 3 years he exited the account. To be fair there was a down turn in the market, but before that it was gaining a bit.
But yes, the more I've learned on how they work and get paid and how I get paid from them and I hate them and I would not suggest them either.
ETFs are pretty much in a similar category, but if you know what your looking for in the ETF and it holds what you would hold anyway, they make sense. I don't hold an ETF, but I've held a very similar item MMP - Precious Metals and Mining Trust and did very well before I jumped out. I also hold CODI - Compass Diversified Holdings in the US which similar except it owns private entities within a public holding. All these funds, trusts, holdings, partnerships, SPACS, what ever the latest terms are used are pretty much the same as Birkshire Hathaway. Everyone wants to follow Buffett, yet he used to do it all just for himself like we are currently trying to do.