John Bogle

How management costs dramatically reduce the value of investments

Do fund managers really beat the market?

A full-length documentary, How to Win the Loser's Game provides ordinary investors with the information they need, and challenges the investing industry to offer consumers a fairer deal.

In the final video in this series, we explore how the investment industry needs to change if it’s to serve investors better, and make a more valuable contribution to the economy and to society.

Investing passively will ensure that, after costs, you outperform the average active investor. That’s simple arithmetic. But there is a proviso. You must have the discipline to stay the course.

All the evidence points to the humble index fund being the most appropriate investment vehicle. And there are few advocates of indexing as staunch as Warren Buffett - the most famous active stock picker of all.

In search of a better way to invest, we travel to Paris and Chicago to examine the work of Professor Eugene Fama and French mathematician Louis Bachelier.

Part 3 of this documentary on evidence-based investing looks at the dismal performance record of actively managed funds.

John Bogle explains why investors only receive about 30% of the total market return

No one likes to be average. Even the least ambitious among us aspires to be good at something.