John C. Bogle did his research and came with the conclusion that actively managed funds could not do better than the market. With this belief he established the first index mutual fund in 1975 known as the Vanguard 500 Index Fund. Just the previous year he started The Vanguard Group, Inc.
To make a long story short he became very successful at what he did. Under his guidance The Vanguard Group became one of the largest mutual fund companies in the world. Today the Vanguard Group manages about $1.7 trillion in U.S. mutual fund assets. It has more than 170 funds to offer.
While others provide a more fast-paced approach to investing, Bogle’s philosophy was more of the buy and hold type. He has a very strong follower base that believes in his investing philosophy and actually calls themselves Bogleheads and have gone to the extent of having their own website.
Born in 1926 in Montclair, New Jersey he retired as CEO of his company in 1996 and gave up the Chairmanship in 2000. He now keeps himself busy with the Bogle Financial Markets Research Center (a think tank) and is also an active blogger.
There are some now doubting his philosophy and say that he did not have all the available data when he made his conclusion about index investing. His best rebuttal would be his achievement of having established a company now managing over a trillion dollars in assets.
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