Is there an upper limit of money where index funds stop making sense? Multi-millionaires and billionaires don't use these for majority of their holdings.
>>1493626
hedge funds.
https://www.youtube.com/watch?v=7kThTbLUQdU
>>1493626
You do know that you can spread your money around to many different funds, right? For example sovereign wealth funds manage billions of dollars, and they do fine.
See- https://en.wikipedia.org/wiki/Abu_Dhabi_Investment_Authority
You know how China store their trillions? They don't buy stocks. They hold in gold, different currencies, and bonds. Stocks are a meme.
>>1493655
Gold is the biggest meme.
>>1493626
The index fund meme is in the context of saving, usually for retirement in a tax differed account.
And it's true you you can't go wrong with index funds Boglehead style.
What you are speaking of are people in the business of speculating an investing. It's a different ball game, even at [relatively] low amounts of capital.
Notice I said capital, not savings.
Of course someone with a net worth of $1M+(ergo an "accredited investor" with access to hedge funds and the like) who is actively investing and speculating will have a much different portfolio.
But again, it's more about active investing and/or speculating vs passive investing/saving.
Even Warren Buffet (net worth $70 Billion) has said after he dies his estate will be passive with indexes.
>>1493669
index funds lost money today.
>>1493626
dow and sp can easily, double the current level in a very short period of time.
over 90% of hedge funds end up doing some illegal activity. many go straight to jail. best hedge funds are the ones that know how to avoid jail time, it's well known some of the biggest buy the court in new york.
in new york, many people honestly choose jail or jumping out of window over coming to home with empty hands. most of them fail. these lowlifes come from poor backgrounds often, they simply would do pretty much anything you can imagine just to get rich. it's sad.
>>1493626
dow includes 30 stocks. and yes. majority of the big money tends to hold slices of those