Published on 8 May 2024 on Motley Fool via Yahoo Finance
Low-cost index investing has witnessed a surge in popularity since the 2008 financial crisis. The primary driver behind this trend is the exceptionally low fees and tax-friendly nature of these funds.
The lower ownership costs of these funds enable investors to retain a larger share of their capital gains, often resulting in superior returns compared to actively managed funds. Actively managed funds generally charge hefty fees and can generate considerable tax liabilities.
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