The Big Idea
Investing in the stock market is a zero-sum game before costs are deducted, but a loser's game after fees, taxes, and trading expenses are applied. Because gross returns minus the costs of financial intermediation equal the net returns delivered to investors, high-cost active management reduces the wealth investors keep. The most reliable path to financial success is capturing your fair share of market growth by buying and holding a broadly diversified, low-cost index fund for the long run.
