On Good Terms with Current Management, The World Warms to Vanguard Founder Jack Bogle

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Vanguard founder Jack Bogle spoke with Money about retirement planning and the strong relationship he enjoys with Vanguard management.

Long a controversial figure in the financial world, Vanguard Group’s visionary founder Jack Bogle is not only seeing a world warming up to his bold indexing revolution but a new Vanguard leadership warming up to his pioneering ideas.

Though Bogle’s presence has remained on the Malvern campus of the world’s mutual fund giant since his retirement in 2000, “there were years when he found his high profile and opinions weren’t particularly welcome by the company’s top officials,” Karen Damato wrote in a Money interview with Bogle.

“Now, ‘all the arguments have been settled or put aside,’ he said, leading to ‘the best relationship I’ve had with Vanguard.’”

However, it remains to be seen whether investors have warmed up to these other Bogle ideas from the Bogleheads conference last week:

  • Stock returns are headed for a mere 4 percent average in the coming decades.
  • Don’t trade ETFs.
  • Limit your foreign exposure to the foreign operations of U.S. companies.
  • Keep things simple; “one thing you have to do is protect yourself against your own weaknesses.”
  • “The new Labor Department rule requiring financial advisers to put retirement investors’ interest above their own ‘is going to make a much bigger change than anyone now envisions,’” the article quoted Bogle as saying.

Read more about Bogle’s ideas in Money here, and check out previous VISTA Today coverage of Vanguard here.

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