John C. Bogle 
The Clash of the Cultures 
Investment vs. Speculation

Recommended Reading by Warren Buffet in his March 2013 Letter
to Shareholders

How speculation has come to dominate investment–a
hard-hitting look from the creator of the first index fund.

Over the course of his sixty-year career in the mutual fund
industry, Vanguard Group founder John C. Bogle has witnessed a
massive shift in the culture of the financial sector. The prudent,
value-adding culture of long-term investment has been crowded out
by an aggressive, value-destroying culture of short-term
speculation. Mr. Bogle has not been merely an eye-witness to these
changes, but one of the financial sector’s most active
participants. In The Clash of the Cultures, he urges a return to
the common sense principles of long-term investing.

Provocative and refreshingly candid, this book discusses Mr.
Bogle’s views on the changing culture in the mutual fund industry,
how speculation has invaded our national retirement system, the
failure of our institutional money managers to effectively
participate in corporate governance, and the need for a federal
standard of fiduciary duty.

Mr. Bogle recounts the history of the index mutual fund, how he
created it, and how exchange-traded index funds have altered its
original concept of long-term investing. He also presents a
first-hand history of Wellington Fund, a real-world case study on
the success of investment and the failure of speculation. The book
concludes with ten simple rules that will help investors meet their
financial goals. Here, he presents a common sense strategy that
‘may not be the best strategy ever devised. But the number of
strategies that are worse is infinite.’

The Clash of the Cultures: Investment vs. Speculation
completes the trilogy of best-selling books, beginning with
Bogle on Investing: The First 50 Years (2001) and Don’t
Count on It! (2011)

قائمة المحتويات

Foreword By Arthur Levitt ix

Acknowledgments xiii

About This Book xv

Chapter 1 The Clash of the Cultures 1

Chapter 2 The Double-Agency Society and the Happy Conspiracy 29

Chapter 3 The Silence of the Funds: Why Mutual Funds Must Speak Out on the Governance of Our Nation’s Corporations 65

Chapter 4 The ‘Mutual’ Fund Culture–Stewardship Gives Way to Salesmanship 103

Chapter 5 Are Fund Managers True Fiduciaries?: The ‘Stewardship Quotient’ 139

Chapter 6 The Index Fund: The Rise of the Fortress of Long-Term Investing and Its Challenge from Short-Term Speculation 167

Chapter 7 America’s Retirement System: Too Much Speculation, Too Little Investment 213

Chapter 8 The Rise, the Fall, and the Renaissance of Wellington Fund: A Case Study–Investment Wins, Speculation Loses 251

Chapter 9 Ten Simple Rules for Investors and a Warning for Speculators 297

Appendix I: Performance Ranking of Major Mutual Fund Managers-March 2012 323

Appendix II: Annual Performance of Common Stock Funds versus S&P 500, 1945-1975 325

Appendix III: Growth in Index Funds–Number and Assets, 1976-2012 327

Appendix IV: Wellington Fund Record, 1929-2012 329

Appendix V: Wellington Fund Equity Ratio and Risk Exposure (Beta), 1929-2012 333

Appendix VI: Wellington Fund Performance versus Average Balanced Fund, 1929-2012 335

Appendix VII: Wellington Fund Expense Ratios, 1966-2011 337

Index 339

عن المؤلف

JOHN C. BOGLE is the founder of the Vanguard Group of mutual funds and President of its Bogle Financial Markets Research Center. He created Vanguard in 1974 and served as chairman and chief executive officer until 1996 and senior chairman until 2000. In 1999, Fortune magazine named Mr. Bogle as one of the four ‘Investment Giants’ of the twentieth century. In 2004, Time magazine named him one of ‘the world’s 100 most powerful and influential people, ‘ and Institutional Investor presented him with its Lifetime Achievement Award. In 2010, Forbes magazine described him as the person who ‘has done more good for investors than any other financier of the past century.’ In January 2012, some of the nation’s most respected financial leaders celebrated his distinguished career at the John C. Bogle Legacy Forum, held at New York’s Museum of American Finance.