9 Good Financial Rules

Discuss all general (i.e. non-personal) investing questions and issues, investing news, and theory.
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Leesbro63
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9 Good Financial Rules

Post by Leesbro63 »

I thought I'd share this as it's all very BOGLEHEADISH. "Nine Financial Rules You Should Never Forget". A very nice easy summary of most of what we Bogleheads live by. I particularly liked "Most Financial Problems Are Caused By Debt"...it's one that we often talk around, but I've never realized it quite that simplified.

http://www.jewishworldreview.com/0313/9 ... UMq5hwsmbM
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Rob5TCP
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Re: 9 Good Financial Rules

Post by Rob5TCP »

Always good to see others having a Bogleish leaning.
MnD
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Re: 9 Good Financial Rules

Post by MnD »

Too bad they don't teach these in school.
70/30 AA for life, Global market cap equity. Rebalance if fixed income <25% or >35%. Weighted ER< .10%. 5% of annual portfolio balance SWR, Proportional (to AA) withdrawals.
moneywise3
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Re: 9 Good Financial Rules

Post by moneywise3 »

Thank you
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mlebuf
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Re: 9 Good Financial Rules

Post by mlebuf »

Brilliant advice, well communicated. I would add these two additional rules to the Big 9:
1. Warren Buffet's advice to buy index funds and
2. Benjamin Graham's advice that every investor should have between 25 and 75 percent of their investments in equities at all times. Interesting to note that Graham wrote that advice long before there was such a thing as modern portfolio theory. :sharebeer
Best wishes, | Michael | | Invest your time actively and your money passively.
Alex Frakt
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Re: 9 Good Financial Rules

Post by Alex Frakt »

Moved to Investing - Theory, News & General forum. Despite the title, most of this is about investing rather than personal finance. BTW, it would have been off-topic if it were finance, since that subforum requires that topics be about the poster's personal situation.
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Leesbro63
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Re: 9 Good Financial Rules

Post by Leesbro63 »

Whew! When I saw the red, I thought I was in trouble for being "non-actionable". Yet I've seen many good BOGLEHEAD type articles similarly posted, so I took the risk. This seems very appropriate, but I've thought that before. What is the criteria for "not-directly-actionable" but still appropriate for posting. I think this is it, but like other stuff once noted by Supreme Court, it's hard to define.
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nisiprius
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Re: 9 Good Financial Rules

Post by nisiprius »

Original source: as you'd expect from the first line, this article is originally from the Motley Fool:
9 Financial Rules You Should Never Forget.
Annual income twenty pounds, annual expenditure nineteen nineteen and six, result happiness; Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery.
TT
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Re: 9 Good Financial Rules

Post by TT »

delete
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