Is buying the cheapest index fund really the smartest move?

It sounds logical. Low cost. Broad diversification. Simple.
But investing isn’t just about cost, it’s about understanding where returns actually come from.

In this episode, Joe breaks down why “cheap indexing” alone may not be a complete strategy. He walks through expected returns, risk premiums, and how academic theory gets misapplied in real-world portfolios. More importantly, he explains the gap between understanding the math and building a disciplined strategy that holds up over time.

If you’ve ever wondered whether expense ratios are the only thing that matters, or if you’re an advisor trying to articulate deeper portfolio philosophy, this episode will challenge your thinking.

Topics Covered:

• Why the cheapest fund isn’t automatically the best solution
• Where returns really come from
• Risk vs. volatility
• Portfolio construction beyond headline expense ratios
• The difference between academic theory and practical implementation

This episode is for investors and advisors who want to move past surface-level advice and understand the mechanics behind long-term wealth building.

For a quick assessment of your current financial life go to:

Livingbalancesheet.com/lbsvision/lite/joedelisi

At the end of the assessment you can request a meeting with me to review the results.

joedelisi.com