Скачать или смотреть Why I AVOID Index Funds & ETFs (Dividend Investing With Individual Stocks)

I personally avoid index funds and ETFs (exchange traded funds). As a dividend growth investor with the goal of driving passive income (via dividend checks), these investment vehicles do not meet my needs. Today's video compares and contrasts individual dividend stocks with index funds (and ETFs). I discuss the pros and cons of each.

In particular, I cover the following:
What are your investment goals? Mine involve massive amounts of cash flow that cover my living expenses so I can visit beautiful places like Hawaii more often.

Do you want to average? That's what will happen with an index fund (by definition). I don't want to be average and that's why I personally invest in individual stocks.

Individual stocks offer control, stability, the opportunity for superior results, more risk (although mitigated somewhat via diversification), lower fees, and a bit more work.

Exchange traded funds and index funds offer less control, the ability to track an index, less risk, higher fees, and less work.

Learn where index funds and ETFs may make sense. Especially retirement accounts that only offer actively managed mutual funds as the alternative. And, charities where there is a fiduciary responsibility.

Learn why I don't like index funds. I just can't see them working for anyone who wants to make a living off of dividends.

Also, I cover three key points:
(1) Individual stocks allow one to optimize for dividends.
(2) Individual stocks allow one to buy value (buy what's "on sale").
(3) Index funds include lower quality stocks, and lift such stocks to unfair valuations.

Disclaimer: I'm not a licensed investment advisor, and today's video is just for entertainment and fun. This video is NOT investment advice. Please talk to your licensed investment advisor before making any financial decisions.

All content on my YouTube channel is (c) Copyright IJL Productions LLC.