Re: Index Funds?
Omah, that's a good introduction. Indexes are an interesting option
I should mention that I'm not doing any ETFs right away because I think the markets over here are over-valued, but I am selling here and there to put into cash and other assets, and am starting to diversify a little more and broaden the risk somewhat - with a lot of research put behind it. In other words, it's time to get more conservative with the nest egg.
Muddy, you are correct that indexes follow the economy, so there has to be flexibility in when to sell. One has to be overall bullish about the growth of the national economy over time and willing to make a long term investment, ten years or more for some reasonable expectation of a return. Here, that return in the overall market is around 7%.