People are paying a fee for someone to rebrand index funds for them, just like they might pay a fee to go to a concert
I don't think this is true. People pay a fee for rebranded index funds not because they especially enjoy rebranded index funds, but because they are misled to think that what they are getting is something different from what they are actually getting. People pay a fee because they are told that the fund will bring them higher returns (or less risk, etc.).
I can imagine someone investing in a hedge fund to be able to claim that he is a "hedge fund investor", but I don't think this situation is applicable to the great majority of money invested. And it's paying for signaling, not paying for consumption.
People pay a fee because they are told that the fund will bring them higher returns (or less risk, etc.).
That's not how it sounds from the article and its source
...What Stash tries to add, and what it’s charging users for, is both the unique framing of the funds and ease of use.
Investing in these tech or green energy companies is “self expression,” Robinson said, even if a bog-simple Vanguard index ETF plan “is probably the smart investment.”
Of course, there are still a great many young adults who are more focused on their returns. For them, Stash has an
Another month, another rationality quotes thread. The rules are: