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I caught just the last couple of minutes of the interview portion when flipping channels. One of them was saying that you should invest in active bond management because you can't buy a bond index - too many securities for full replication as with the S&P 500.
I guess they've never read the disclaimer: you cannot invest directly in an index, period. Nor do they understand that sampling works just fine for funds like FSTVX, or many other total stock market index funds.
There are lots of reasons one can give for choosing active bond management. But saying that there's no such thing as a real bond index fund because they all sample is pure sales talk.
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I guess they've never read the disclaimer: you cannot invest directly in an index, period. Nor do they understand that sampling works just fine for funds like FSTVX, or many other total stock market index funds.
There are lots of reasons one can give for choosing active bond management. But saying that there's no such thing as a real bond index fund because they all sample is pure sales talk.