In his latest article written for Alan Kohler's Eureka Report, Scott looks at whether index funds are suitable investments in a volatile market.

Scott looks at the relatively high proce of index funds in Australia compared to the USA as well as some of the diversification difficulties faced by index funds in a relatively small market like Australia.  However, he also provides evidence that stock pickers do not appear to out-perform in volatile market conditions and concludes that index funds are a relatively low-cost, tax-effective and well-diversified tool within an investment portfolio.

Click on the following link to read Scott's article - What price index funds?.