I was born in 1979. If my parents had invested $1,000 in a no-fee S&P 500 index fund, and had reinvested all dividends, the stake would have grown to be worth $80,601 on my 40th birthday.
That’s a gain of 81 for 1.
Meanwhile, a $1 million investment by the endowment at a college would have grown to over $80 million.
But here’s the math that’s hardest to believe: If the college had paid a seemingly small 2% investment fee, then its gain would have...