The Little Book of Common Sense Investing: The Only Way to Guarantee Your Fair Share of Stock Market Returns (Little Books. Big Profits)
The best-selling investing "bible" offers new information, new insights, and new perspectives
The Little Book of Common Sense Investing is the classic guide to getting smart about the market. Legendary mutual fund pioneer John C. Bogle reveals his key to getting more out of investing: low-cost index funds. Bogle describes the simplest and most effective investment st...more
I really liked this book; it's one of the better investing books I've read. It contains just the right amount of empirical evidence in the form of statistics, graphs, and charts to be convincing, but not eye-glazingly boring. To back up his assertions, he points to "the relentless rules of humble arithmetic." Bog ...more
This book is essentially a dismantling of vast swaths of the financial industry, especially the mutual fund. Step by step, and through the relentless application of real-world performance numbers and statistics, Bogle s ...more
- things that cost investors in actively managed mutual funds:
— expense ratio
— turnover (fees cut into profits and cap gains lead to premature taxation)
— higher taxes
— [something about consuming nearly all dividend gains?]
— transaction/load/redemption fees
— investor emotion: buying funds when market up ...more
I thought it was going to be extremely basic beginners guide and only scratch the surface of the investment world.
This book does not really talk about the investment world, it just talks about index funds within the stock market. I feel like they should have chosen a better title. It is all about proving that index funds are the best (profitable while being safe) bet for investing, with hard factual evidence. Get rid of all your money managers, consultants, fin ...more
This should be the first investment book that everyone reads. I think it paints a pretty good picture of how an individual should be investing - all the while re-iterating that his way is not the only way. I really enjoyed Bogle's writing style. Whatever he presented were backed by just enough facts so as to not get boring.
Start early, create a good plan and stay the course! ...more
Some of the points made, such as have diverse investments, that past performance can be misleading and minimise costs, were interesting, but overall this book was a bit simplistic and it was very repetitive.
Only downfall is repetition of same points over and over again.
Let me start by saying that I do this (investing and personal finance) for a living. This review ...more
The author promoted some common sense behind indexing,
1. Market return is composed of investment return and speculative return; and over long term, speculative return can be ignored.
2. Indexing is better because of diversification and cost.
3. Simple is beautiful.
However, he also presented some biased opinions, intentionally or not.
In chapter 5, he said that (non-index) fund return and investor return are different because one is time-weighted and dollar-wei ...more
1. Minimizing fees by utilizing low-cost index funds will almost certainly be more profitable over the long term than actively managed funds. Yearly fees on some of the cheapest index funds are around .1% - Actively managed funds usually range from .7% - 2%.
2. Tax minimization is one of the most important factors in investment s ...more
Point 1: Index funds are better than ETFs, mutual funds, individual stocks, etc. Here are 7 chapters using statistical and historical data to prove it. Don't believe me? Here's a chapter cap from another source that agrees with me.
Point 2: Money managers have their own best interest in mind, and have fees. Avoid them and do your own managing. Here are 7 chapters using statistical and historical data to prove it. Don't believe me? Here's a chapter cap from another s ...more
More on http://en.wikipedia.org/wiki/John_C._... ...more