In Investing, You Get What You Don’t Pay For
Remarks by John C. Bogle
Founder and Former Chairman, The Vanguard Group
The World Money Show
February 2, 2005
Orlando, Florida
I’m delighted to be here again to keynote this conference. One very important thing has changed since I last spoke here six years ago, and two vital elements have remained unchanged. That single critical change, and those two things that have remained the same, have revealed three of the eternal verities of investing, and I’m pleased to address both the change and the constancy.
What has changed, …

“Time is your friend; impulse is your enemy.” - John Bogle, Vanguard Group Founder 
“History shows that in the long run a thoughtfully designed, diversified strategy of “passive” funds typically beats all but a few active managers. It’s not easy to structure and maintain such a strategy. It requires some initial research and discipline to stay the course. But it’s much easier than predicting which active managers will randomly beat this approach.” - Eugene Fama, Jr., DFA
When investing passively for the long term, it is crucial to choose a wise investment …

John Bogle is the founder of Vanguard, a leading client-owned investment management company. In this video, Bogle explains disadvantages of ETFs in comparison to traditional index funds.
Edit: This video has been removed from Wall Street Journal online. Bogle generally advises against excessive trading and the subsequent high commission fees that could result. He also cautions against exotic ETFs.
Smart Money also has a Q&A Bogle interview about ETFs.
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