Book: Common Sense on Mutual Funds: Fully Updated 10th Anniversary Edition by John C. Bogle ISBN: 978-0-470-59748-4
This is the chapter where Bogle goes against the crowd. And honestly? It’s one of the most interesting chapters in the whole book precisely because a lot of smart people disagree with him.
Book: Common Sense on Mutual Funds: Fully Updated 10th Anniversary Edition by John C. Bogle ISBN: 978-0-470-59748-4
Most investing conversations are about stocks. Growth stocks, value stocks, tech stocks, meme stocks. Bonds are boring. Nobody gets excited about bonds.
Book: Common Sense on Mutual Funds: Fully Updated 10th Anniversary Edition by John C. Bogle ISBN: 978-0-470-59748-4
If you’ve ever seen a Morningstar style box, you know what equity styles are. There’s a 3x3 grid. One axis is size: large-cap, mid-cap, small-cap. The other axis is style: growth, blend, value. Every stock fund gets placed in one of those nine boxes.
Book: Common Sense on Mutual Funds: Fully Updated 10th Anniversary Edition by John C. Bogle ISBN: 978-0-470-59748-4
This is where the book gets really good. Chapter 5 is about index funds. And if you know anything about John Bogle, you know this is his baby. He literally created the first one.
Book: Common Sense on Mutual Funds: Fully Updated 10th Anniversary Edition by John C. Bogle ISBN: 978-0-470-59748-4
Chapter 4 is where Bogle drops what might be the most counterintuitive truth in all of investing: more information does not lead to better results.
Book: Common Sense on Mutual Funds: Fully Updated 10th Anniversary Edition by John C. Bogle ISBN: 978-0-470-59748-4
How you split your money between stocks and bonds might be the most important investing decision you ever make. More important than which stocks you pick. More important than which fund manager you choose. More important than timing the market.
Book: Common Sense on Mutual Funds: Fully Updated 10th Anniversary Edition by John C. Bogle ISBN: 978-0-470-59748-4
Chapter 2 is where Bogle pulls out Occam’s Razor and cuts through all the noise about how the stock market works.
Book: Common Sense on Mutual Funds: Fully Updated 10th Anniversary Edition by John C. Bogle ISBN: 978-0-470-59748-4
Bogle opens this entire book with a story about a gardener. Not a hedge fund manager. Not a Wall Street analyst. A gardener.
Book: Common Sense on Mutual Funds: Fully Updated 10th Anniversary Edition by John C. Bogle ISBN: 978-0-470-59748-4
So there’s this guy named John Bogle. He founded Vanguard. He created the first index mutual fund available to regular people. And then he wrote a book that basically tells you everything you need to know about investing your money without getting ripped off.