AI Summary
5 min readThe cost of investing has never been lower. Vanguard’s average mutual fund expense ratio is now six one-hundredths of one percent — so cheap it is “basically free.” Fidelity goes further with its zero funds, which charge no fee at all and return 100% of the underlying investment performance. Stock trading, which once cost hundreds of dollars in commissions per trade, is now routinely free. Yet at the same time, Clark warns, a parallel universe of high-cost junk is being aggressively sold — private placements, private equity with 20% performance fees, insurance products masquerading as investments, and annuities that can leave you with less money a decade later than you started with, even in a rising market.
The Two Worlds of Investing
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What you'll learn
- 1 (01:04) **Episode Introduction & Mission** - Clark sets up the show's mission: empowering listeners with financial advice.
- 2 (01:19) **The Investing Cost Paradox: Historic Lows vs. Hidden Junk Fees** - Clark explains the current strange moment in investing.
- 3 (05:14) **Warning Sign: Annuities as a "Cuss Word"** - Clark's strongest warning against insurance-sold annuities.
- 4 (07:19) **The Core Recovery Advice: Fiduciary First** - The key to protecting yourself from high-cost junk.
- 5 (08:42) **Listener Q&A: Scott in Colorado** - Can EE savings bond proceeds fund a grandchild's 529 plan tax-free?
- 6 (10:38) **Listener Q&A: Jared in North Carolina** - Is no-medical-exam life insurance legit?
- 7 (13:12) **Listener Q&A: Matthew in Tennessee** - Is using Amex Send & Split on Venmo a good alternative to a separate bank account?
+ Full timestamped outline available in the app
Show Notes
Investing has never been cheaper - or more expensive - depending on where you choose to grow your money. What to know to be a Clark Smart investor. Also - Should you use ChatGPT Health? While AI is revolutionizing medical research and helping patients find specialized care - this all comes with a warning.
- Investing Expenses: Segment 1
- Ask Clark: Segment 2
- AI & Health Monitoring : Segment 3
- Ask Clark: Segment 4
Mentioned on the show:
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Best Investment Companies for Investors in 2026 - Clark Howard - What Fee Percentage Is Too High for Your Investments?
- What Brokerage Do You Recommend for First-Time Investors or Kids?
- Barrons: Commission-Free Annuities Are on the March. When They Make Sense.
- How To Find and Choose a Financial Advisor
- How To Roll Over U.S. Savings Bonds Into a 529 Plan
- Best Term Life Insurance Companies, Plans & Coverage
- AMEX - What is Send & Split?
- WPost- I let ChatGPT analyze a decade of my Apple Watch data. Then I called my doctor.
- Kardia Mobile EKG Monitor
- The Cheapest Grocery Stores - Clark Howard
- Best 529 College Savings Plans By State
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