A Bloomberg column confirms something that not enough people heed: The best way to make money from mutual funds is to own one, not to have your money invested in one.
The money-management business makes a great road to riches.
Anyone harboring the slightest doubts about that statement can dispel them with a look at the latest Forbes magazine tally of the 400 wealthiest Americans.
In one quick glance down the list, I picked out 25 people whose fortunes derive from the decades-old boom in investment management. They range from two members of the Johnson family that built Fidelity Investments in Boston, the biggest mutual- fund manager, to Joseph Mansueto, whose Morningstar Inc. in Chicago specializes in research on funds and other investments.
A dozen boast fortunes that Forbes specifically attributes to hedge funds, the partnerships for sophisticated investors that have been among the hottest of all financial products in the early years of the 21st century.