Posts with keyword vanguard→
I don’t know about the smartest, but at less than 180 pages this is certainly the smallest investing book I have ever read. The bargain price of $4.97 was worth it though. (The size falls below the minimum 200-page limit I follow when paying $5 for any book on investing, but that is okay, as long as quality compensates for the lack of quantity.)
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In the recent annual meeting of the Berkshire Hathaway shareholders held last Saturday, CEO Warren Buffett was asked about the best investment idea he would recommend to an investor in his 30’s. In his own words:
I would just have it all in a very low-cost index fund from a reputable firm, maybe Vanguard. Unless I bought during a strong bull market, I would feel confident that I would outperform…and I could just go back and get on with my work.
Banks, Investment companies and Investment banks
(This post is a part of the series on Basics of Finance and Investing.)
You and I, as members of the household sector, want to invest our money, whereas the business sector wants to raise money to pay for real assets. Such supply and demand requirements create an atmosphere of synergistic interactions between these two sectors.
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Bogle-quote on market swings
In a recent BusinessWeek interview
on current market volatility, John Bogle – index fund guru and Vanguard founder – made the following comments:
In the long run, investing is not about markets at all. Investing is about enjoying the returns earned by businesses. And the stock market is nothing but a giant distraction in that quest to acquire returns that business earns.
Without telling anything new, this quote still reminds us of the big picture of investing: a buy-and-hold strategy for the long haul is the only way to escape the ravages of market swings, and to benefit from the slowly (and surely) growing economy. I recommend reading the entire interview.
