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A Wealth of Common Sense: Why Simplicity Trumps Comp... by Carlson, Ben Hardback

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Item specifics

Condition
Very Good: A book that does not look new and has been read but is in excellent condition. No obvious ...
ISBN
1119024927
EAN
9781119024927
Date of Publication
2015-07-21
Publication Name
N/A
Type
Hardback
Release Title
A Wealth of Common Sense: Why Simplicity Trumps Complexity in ...
Artist
Carlson, Ben
Brand
N/A
Colour
N/A
Book Title
Wealth of Common Sense : Why Simplicity Trumps Complexity in Any Investment Plan
Book Series
Bloomberg Ser.
Publisher
Wiley & Sons, Incorporated, John
Item Length
8.9 in
Publication Year
2015
Format
Hardcover
Language
English
Illustrator
Yes
Item Height
0.8 in
Author
Ben Carlson
Genre
Business & Economics
Topic
Investments & Securities / Portfolio Management, Finance / Wealth Management, Investments & Securities / General
Item Weight
16 Oz
Item Width
6.1 in
Number of Pages
224 Pages
Category

About this product

Product Identifiers

Publisher
Wiley & Sons, Incorporated, John
ISBN-10
1119024927
ISBN-13
9781119024927
eBay Product ID (ePID)
208568271

Product Key Features

Book Title
Wealth of Common Sense : Why Simplicity Trumps Complexity in Any Investment Plan
Number of Pages
224 Pages
Language
English
Publication Year
2015
Topic
Investments & Securities / Portfolio Management, Finance / Wealth Management, Investments & Securities / General
Illustrator
Yes
Genre
Business & Economics
Author
Ben Carlson
Book Series
Bloomberg Ser.
Format
Hardcover

Dimensions

Item Height
0.8 in
Item Weight
16 Oz
Item Length
8.9 in
Item Width
6.1 in

Additional Product Features

Intended Audience
Trade
LCCN
2015-460477
TitleLeading
A
Dewey Edition
23
Dewey Decimal
332.024
Table Of Content
Introduction: Why Simplicity Is the New Sophistication xi Chapter 1 The Individual Investor versus the Institutional Investor 1 Institutional versus Individual Investors 5 We're All Human 9 Extra Zeroes 12 Long-Term Thinking 13 Key Takeaways from Chapter 1 16 Notes 16 Chapter 2 Negative Knowledge and the Traits Required to Be a Successful Investor 19 The Biggest Problem of All 25 Traits of a Successful Investor 27 Standing on the Shoulders of Giants 33 Key Takeaways from Chapter 2 38 Notes 38 Chapter 3 Defining Market and Portfolio Risk 41 Volatility: Risk or Opportunity? 48 Understanding Rule Number 1 of Investing 49 The Risk Tolerance Questionnaire 50 Risk versus Uncertainty 52 Risk Aversion 54 The Cycle of Fear and Greed 58 Key Takeaways from Chapter 3 60 Notes 60 Chapter 4 Market Myths and Market History 63 Myth 1: You Have to Time the Market to Earn Respectable Returns 66 Myth 2: You Have to Wait until Things Get Better Before You Invest 67 Myth 3: If Only You Can Time the Next Recession, You Can Time the Stock Market 68 Myth 4: There's a Precise Pattern in Historical Market Cycles 70 Myth 5: Stocks and Bonds Always Move in Different Directions 71 Myth 6: You Need to Use Fancy Black Swan Hedges in a Time of Crisis 73 Myth 7: Stocks Are Riskier Than Bonds 74 Myth 7a: Bonds Are Riskier Than Stocks 75 Myth 8: The 2000s Were a Lost Decade for the Stock Market 76 Myth 9: New All-Time Highs in the Stock Market Mean It's Going to Crash 77 Myth 10: A Yield on an Investment Makes It Safer 78 Myth 11: Commodities Are a Good Long-Term Investment 80 Myth 12: Housing Is a Good Long-Term Investment 81 Myth 13: Investing in the Stock Market Is Like Gambling at a Casino 82 Key Takeaways from Chapter 4 84 Notes 85 Chapter 5 Defining Your Investment Philosophy 87 Degrees of Active and Passive Management 90 The Benefits of Doing Nothing 94 Exercising Your Willpower 96 Simplicity Leads to Purity 98 Defining Yourself as an Investor 99 Key Takeaways from Chapter 5 100 Notes 101 Chapter 6 Behavior on Wall Street 103 Threading the Needle 107 So Never Invest in Active Funds? 112 The Most Important Thing 114 Key Takeaways from Chapter 6 115 Notes 116 Chapter 7 Asset Allocation 119 Asset Allocation Decisions 121 Why Diversification Matters 123 Mean Reversion and Rebalancing 131 Risk Factors, Value Investing, and the Power of Patience 135 The Value Premium 136 The Rise of Smart Beta 138 How to See It Through 143 Key Takeaways from Chapter 7 146 Notes 147 Chapter 8 A Comprehensive Investment Plan 149 Why Do You Need a Plan? 150 The Investment Policy Statement (IPS) 152 Lifecycle Investing 154 Beating the Market 158 Saving Money 159 Taxes and Asset Location 160 Key Takeaways from Chapter 8 161 Notes 161 Chapter 9 Financial Professionals 163 Vetting Your Sources of Financial Advice 166 Outsourcing to a Financial Professional 168 What a Financial Advisor Can Do for You 171 How to Be a Good Client 174 Benchmarking and Ongoing Maintenance 176 Alternatives 177 Key Takeaways from Chapter 9 178 Notes 178 Conclusion 179 Book List 186 Notes 187 About the Author 189 Index 191
Synopsis
A simple guide to a smarter strategy for the individual investor A Wealth of Common Sense sheds a refreshing light on investing, and shows you how a simplicity-based framework can lead to better investment decisions. The financial market is a complex system, but that doesn't mean it requires a complex strategy; in fact, this false premise is the driving force behind many investors' market "mistakes." Information is important, but understanding and perspective are the keys to better decision-making. This book describes the proper way to view the markets and your portfolio, and show you the simple strategies that make investing more profitable, less confusing, and less time-consuming. Without the burden of short-term performance benchmarks, individual investors have the advantage of focusing on the long view, and the freedom to construct the kind of portfolio that will serve their investment goals best. This book proves how complex strategies essentially waste these advantages, and provides an alternative game plan for those ready to simplify. Complexity is often used as a mechanism for talking investors into unnecessary purchases, when all most need is a deeper understanding of conventional options. This book explains which issues you actually should pay attention to, and which ones are simply used for an illusion of intelligence and control. Keep up with--or beat--professional money managers Exploit stock market volatility to your utmost advantage Learn where advisors and consultants fit into smart strategy Build a portfolio that makes sense for your particular situation You don't have to outsmart the market if you can simply outperform it. Cut through the confusion and noise and focus on what actually matters. A Wealth of Common Sense clears the air, and gives you the insight you need to become a smarter, more successful investor., PRAISE FOR A WEALTH OF COMMON SENSE "The content of this book lives up to the title. Ben Carlson has mastered the art of exposing the few big topics that matter most to investors, leaving out the complicated but often unnecessary topics found in other investment books. Any investor, from a beginner to a professional, can learn a tremendous amount from A Wealth of Common Sense ." Morgan Housel, columnist for The Motley Fool and the Wall Street Journal "Through hard work Ben Carlson has rapidly established himself as one of the nation's premier investment bloggers. In his new book, A Wealth of Common Sense , Carlson cements his position as a prudent and practical voice for the individual investor." Tadas Viskanta, founder and editor of Abnormal Returns and author of Abnormal Returns: Winning Strategies from the Frontlines of the Investment Blogosphere "Ben Carlson seemingly came out of nowhere and took the financial commentariat by storm with his straightforward, insightful blog posts. True investing wisdom born out of experience and success cannot be faked; it must be earned. This is precisely the type of wisdom that comes oozing out of every chapter in A Wealth Of Common Sense ." Downtown Josh Brown, author of the bestselling book Backstage Wall Street and The Reformed Broker blog, star of CNBC's The Halftime Report, YOUR NONONSENSE GUIDE TO COMMON SENSE INVESTING Cut through the confusion and noise and focus on what actually matters. A Wealth of Common Sense clears the air and gives you the insight you need to become a smarter, more successful investor. Complexity is often used as a mechanism for talking investors into unnecessary purchases, when all most need is a deeper understanding of conventional options. This book explains which issues are important and which are not. Take a look inside for guidance on how to: Keep up with or beat professional money managers Exploit stock market volatility to your utmost advantage Learn where advisors and consultants fit into a smart strategy Build a portfolio that makes sense for your particular situation, A simple guide to a smarter strategy for the individual investor A Wealth of Common Sense sheds a refreshing light on investing, and shows you how a simplicity-based framework can lead to better investment decisions.
LC Classification Number
HG4521

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