Hi,
I read Bogle's book "the little common sense book of investing" and I have been reading bogleheads wiki and forums and there's something I can't understand
So basically there's are proponents of simple portfolio asset allocation of stocks and bonds and there are people encouraging 3 or 4 funds portfolio (US stocks, intl stocks, US and intl bonds).
My question is: Isn't a simple two funds portfolio is better from the angle of compound interest? each asset allocation will compound faster over time compared to the same investment spread over 3 or 4 funds.
Am I missing something here?
Looking forward to your valuable comments
I read Bogle's book "the little common sense book of investing" and I have been reading bogleheads wiki and forums and there's something I can't understand
So basically there's are proponents of simple portfolio asset allocation of stocks and bonds and there are people encouraging 3 or 4 funds portfolio (US stocks, intl stocks, US and intl bonds).
My question is: Isn't a simple two funds portfolio is better from the angle of compound interest? each asset allocation will compound faster over time compared to the same investment spread over 3 or 4 funds.
Am I missing something here?
Looking forward to your valuable comments