The Investor's Manifesto: Preparing for Prosperity, Armageddon, and Everything in Between

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Overview

A timeless approach to investing wisely over an investment lifetime

With the recent market maelstrom as a background, this Wall Street Journal bestseller describes just how to plan a lifetime of investing, in good times and bad, discussing stocks and bonds as well as the relationship between risk and return.

Filled with in-depth insights and practical advice, The Investor's Manifesto will help you understand the nuts and bolts of executing a lifetime investment plan, including: how to survive dealing with the investment industry, the practical meaning of market efficiency, how much to save, how to maintain discipline in...

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Overview

A timeless approach to investing wisely over an investment lifetime

With the recent market maelstrom as a background, this Wall Street Journal bestseller describes just how to plan a lifetime of investing, in good times and bad, discussing stocks and bonds as well as the relationship between risk and return.

Filled with in-depth insights and practical advice, The Investor's Manifesto will help you understand the nuts and bolts of executing a lifetime investment plan, including: how to survive dealing with the investment industry, the practical meaning of market efficiency, how much to save, how to maintain discipline in the face of panics and manias, and what vehicles to use to achieve financial security and freedom.

  • Written by bestselling author William J. Bernstein, well known for his insights on how individual investors can manage their personal wealth and retirement funds wisely
  • Examines how the financial landscape has radically changed in light of the financial crises we have recently faced, and what investors should do to adapt
  • Contains practical insights that the everyday investor can understand
  • Focuses on the concept of Pascal's Wager—identifying and avoiding worst-case scenarios, and planning investment decisions on that basis

With The Investor's Manifesto as your guide, you'll quickly discover the timeless investment approaches that can put you in a better position to prosper over time.

Product Details

  • ISBN-13: 9781118073766
  • Publisher: Wiley, John & Sons, Incorporated
  • Publication date: 9/4/2012
  • Edition number: 1
  • Pages: 272

Meet the Author

William J. Bernstein, PhD, MD, is a bestselling author known as a grassroots hero to independent investors. Formerly a practicing neurologist, Bernstein approaches the problems of saving and investing as someone who had to figure it out for himself—from first principles up. He is the author of The Intelligent Asset Allocator and The Four Pillars of Investing—highly regarded, plain-spoken guides on how to build a diversified portfolio without the help of a financial advisor—the editor of the asset allocation journal Efficient Frontier, and the founder of the popular Web site efficientfrontier.com. He has also written two volumes of economic history, The Birth of Plenty and A Splendid Exchange, and is a coprincipal in Efficient Frontier Advisors.

Table of Contents

Foreword.

Preface.

Chapter 1 A Brief History of Financial Time.

In the Beginning.

Near-Death in Venice.

The Incredible Shrinking Risk Premium.

Summary. 

Chapter 2 The Nature of the Beast.

Of Ravens and Returns.

History versus Math.

Mr. Gordon's Curious Equation.

Math Detail: The Discounted Dividend Model. 

Home Sweet Home?

Adventures in Equity.

Math Detail: Risk.

Throwing Dice with God.

Gene Fama Looks for Angle and Finds None.

Sandbagged by a Superstar.

Jack Bogle Outfoxes the Suits.

It's Better to be Lucky than Smart.

Bond Funds: A Flatter Playing Field.

Summary.

Chapter 3 The Nature of the Portfolio.

Four Essential Preliminaries.

The Asset Allocation Two-Step.

Math Detail: Mean-Variance Analysis. 

With Luck, Zigs and Zags.

Chasing Rainbows.

Summary.

Chapter 4 The Enemy in the Mirror.

Inner Demons.

Behaving Badly.

Bargain-Basement Psychotherapy.

Summary.

Chapter 5 Muggers and Worse.

The World's Largest Bad Neighborhood.

The Fund Funhouse.

Summary.

Chapter 6 Building Your Portfolio.

Financial Planning for a Lifetime: The Basics.

Saving for Retirement: Nuts and Bolts.

How to Save: Dollar Cost Averaging and Value Averaging.

Four Investors, Four Plans.

The Rebalancing Question.

Math Detail: Rebalancing, Momentum, and Mean Reversion. 

Teach Your Children Well.

Summary.

Chapter 7 The Name of the Game.

Investment Theory and History: The Short Course.

The Portfolio Theory of Everything.

We Have Met the Enemy, and He is Us.

Heads I Win, Tails You Lose.

Fire When Ready.

The Books You Need...Aged Like Fine Wine.

Notes.

Acknowledgments.

About the Author.

Index.


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