{"id":994,"date":"2014-06-26T08:42:39","date_gmt":"2014-06-26T13:42:39","guid":{"rendered":"http:\/\/johncbogle.com\/wordpress\/?p=994"},"modified":"2014-06-26T08:42:39","modified_gmt":"2014-06-26T13:42:39","slug":"a-memo-from-john-c-bogle-5","status":"publish","type":"post","link":"https:\/\/johncbogle.com\/wordpress\/2014\/06\/26\/a-memo-from-john-c-bogle-5\/","title":{"rendered":"A Memo from John C. Bogle"},"content":{"rendered":"

To: Veterans and Principals<\/strong><\/p>\n

From: John C. Bogle<\/strong><\/p>\n

Date: June 26, 2014<\/strong><\/p>\n

\u00a0<\/strong>Recognition for Vanguard and Indexing<\/strong><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 The almost overwhelming success of Vanguard and index funds continues to draw attention, not only from investors (over $77 billion of net cash flow so far this year, 95% of which went into our low-cost index funds), but also from the media. Attached are four recent articles noting our success.<\/p>\n

    \n
  1. \u201cBogle Is In The Vanguard Of Mutual Fund Investing,\u201d<\/a> Investor\u2019s Business Daily, June 12, 2014.<\/strong> This nice profile highlights the triumph of indexing, and Vanguard\u2019s rise to prominence over the last four decades.<\/li>\n<\/ol>\n

     <\/p>\n

      \n
    1. \u201cFacing price wars and robots, wealth managers push advice,\u201d<\/a> Reuters, June 20, 2014.<\/strong> I recently participated in the Global Wealth Management Summit hosted by Reuters. This article stems from that summit, and focuses on the growing market for web-based financial advisory services, such as Vanguard\u2019s Personal Advisor Services. Of course, the opening line tickled me: \u201cJack Bogle, the founder of Vanguard Group and the pioneer of low-cost index investing, has won.\u201d<\/li>\n<\/ol>\n

       <\/p>\n

        \n
      1. \u201cVanguard\u2019s Bogle expects shrinking Wall Street,\u201d<\/a> Reuters, June 17, 2014.<\/strong> This article about my thoughts on the future of the financial industry also came out of the Reuters event.<\/li>\n<\/ol>\n

         <\/p>\n

          \n
        1. \u201cPhilosophy Differs From Strategy,\u201d<\/a> RickFerri.com, June 16, 2014. <\/strong>Independent financial advisor Rick Ferri writes about how his investment philosophy is based on the realization that trying to beat the markets is \u201ccostly and counterproductive,\u201d so his investment strategy relies on low-cost index funds.<\/li>\n<\/ol>\n

          With all of Vanguard\u2019s success over our four decades of existence (we\u2019ll celebrate our 40th<\/sup> anniversary on September 24, 2014), it remains critically important that keep our focus on what\u2019s best for our clients. I\u2019ve used this quotation from Shakespeare many times before, \u201cUneasy lies the head that wears a crown.\u201d<\/p>\n

          Indeed, Vanguard\u2019s rise to the pinnacle of the mutual fund industry places a fragile crown on our heads. We must continue to focus on our founding values of stewardship and trusteeship of the assets entrusted to us by our clients.<\/p>\n

          Enjoy your summer.<\/p>\n

          Best, always,<\/p>\n

          Jack<\/p>\n","protected":false},"excerpt":{"rendered":"

          To: Veterans and Principals From: John C. Bogle Date: June 26, 2014 \u00a0Recognition for Vanguard and Indexing \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 The almost overwhelming success of Vanguard and index funds continues to draw attention, not only from investors (over $77 billion of net cash flow so far this year, 95% of which went into our low-cost index funds), […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","advanced_seo_description":"","jetpack_seo_html_title":"","jetpack_seo_noindex":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[15,5],"tags":[],"class_list":["post-994","post","type-post","status-publish","format-standard","hentry","category-memos-to-principals-and-veterans","category-press-clippings"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/johncbogle.com\/wordpress\/wp-json\/wp\/v2\/posts\/994","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/johncbogle.com\/wordpress\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/johncbogle.com\/wordpress\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/johncbogle.com\/wordpress\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/johncbogle.com\/wordpress\/wp-json\/wp\/v2\/comments?post=994"}],"version-history":[{"count":1,"href":"https:\/\/johncbogle.com\/wordpress\/wp-json\/wp\/v2\/posts\/994\/revisions"}],"predecessor-version":[{"id":995,"href":"https:\/\/johncbogle.com\/wordpress\/wp-json\/wp\/v2\/posts\/994\/revisions\/995"}],"wp:attachment":[{"href":"https:\/\/johncbogle.com\/wordpress\/wp-json\/wp\/v2\/media?parent=994"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/johncbogle.com\/wordpress\/wp-json\/wp\/v2\/categories?post=994"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/johncbogle.com\/wordpress\/wp-json\/wp\/v2\/tags?post=994"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}