Warren Buffett Has Endorsed Passive Investing for Decades. Here's the Exact Investment He Recommends Most People Buy.
The legendary investor has beaten the market by a wide margin, but he doesn't think you need to.
Overview
Passive index investing has continued to gain popularity over the past few years, and it's easy to see why: It's hard to beat the market. However, there are many more reasons passive index investing is such a winner among investors, including Warren Buffett himself, who has beaten the market and has been recommending this model for decades.
Most people won't be able to replicate Warren Buffett's success. During his 60-year tenure leading Berkshire Hathaway, it gained 5,502,284% while the S&P 500 (SNPINDEX: ^GSPC) gained 39,054%. Buffett himself admitted that it's unlikely even Berkshire Hathaway could replicate those breathtaking gains at this point.
Details
For most investors, Buffett recommends passive index investing, and he has advised investing in the Vanguard S&P 500 ETF (NYSEMKT: VOO). Here's why.
Source
Originally published at www.fool.com.