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There are many other brand-name funds, including Franklin Templeton, Dreyfus and broker Smith Barney. Always check out a fund's long-term record before you buy. Ask friends about their experiences with specific funds. Pay closer attention to those who have stuck with a fund for at least a few years. The biggest mistakes people make in mutual-fund investing? "Focusing on the short term rather than the long term is one," says Vanguard's Bogle, "and not giving adequate thought to an overall balanced investment program as distinct from randomly picking funds is another."
An often overlooked rule: a fund is usually only as good or bad as the manager at the helm. Keep a close eye out to make sure the guardian of your precious assets doesn't jump ship. If he or she does leave, watch carefully; and if the numbers start to slide, sell.
--With reporting by Stacy Perman and Jane Van Tassel/New York