Part 5. Building Wealth: Choosing the Right Asset

Part 5 brings us to the bottom line: How should investors make important investing decisions concerning mutual funds and the alternatives to mutual funds? We have now examined the many benefits of mutual funds and considered some of the potential problems that can arise when buying and owning them. We have also reviewed the three major alternatives to mutual funds that have recently emerged and captured some attention. Now we are ready to draw some conclusions.

We first examine the basic issue of how investors build wealth over time. This helps investors to better evaluate the role of any investment alternative they might be considering. We then review the overall case for mutual funds. They remain ...

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