Salient to Investors:

Matthew C. Klein writes:

  • Hedge funds et al can now solicit the public for capital by advertising, a welcome development.
  • It is easy to avoid scoundrels by sticking to index funds. Only the greedy get fleeced by offers that are too good to be true.
  • Most finance academics advise parking your savings in simple index funds that charge minimal fees. Yet people allocate trillions of dollars to the mutual fund industry, which has been ripping off investors with high fees and sub par performance for decades.

Read the full article at http://www.bloomberg.com/news/2013-07-11/hedge-funds-ads-will-only-harm-the-greedy.html

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