Today, one of the most popular and reliable ways of investing and growing one's wealth is by investing in index funds. There are many popular index funds brands such as SPDR, iShares, and ProShares, but by far the most well-known and highly respected brand is Vanguard.
Vanguard is often credited with creating the index fund itself, and while this is not exactly true, Vanguard was no doubt the company that popularized index funds. It wasn't a super easy path though. When John Bogle launched Vanguard's first index fund in 1975, investors couldn't care less. Most investors felt that they could just match the market themselves if they wanted and saw no reason to pay someone to track an index.
However, as 401Ks and retirement plans started to become popular, companies embraced the stability and reliability of index fund investing. And by the 2000s, it became clear that most hedge funds don't even beat the market, which led to a massive influx of investors flocking to index funds.
This video explains the story of Vanguard and John C Bogle, and how Vanguard became the king of index funds.
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