Take Control of Your Financial Future With These 4 New Rules"

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Taylor Larimore
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Take Control of Your Financial Future With These 4 New Rules"

Post by Taylor Larimore » Tue Oct 08, 2019 10:00 pm

Bogleheads:

I subscribe to the AARP Bulletin primarily to read Alan Roth's articles in the Money Section. Alan is a CPA, CFA, author, fee-only adviser and a Boglehead. His 3-fund portfolio currently leads the MarketWatch Lazy Portfolios for 10-year returns. Alan sits on our Panel of Experts at Boglehead Conferences. Alan has written a featured article in this month's AARP Bulletin describing "Fresh ways to think about wealth and funding your retirement." These are excerpts:
"I would say that many widely held, responsible-sounding bits of money wisdom are unwise and ought to be turned on their heads."

"New Rule No. 1: Wealth is not a dollar amount."

"New Rule No. 2: A penny saved isn't a penny earned — It's more."

"New Rule No. 3: He who hesitates cashes in."

"New Rule No. 4: Piggy bank coins.

“Rules are usually just wise guidelines to be bent and adjusted based on our situations."

"I often tell people to consider making less money but doing something they love."
Take Control of Your Financial Future With These 4 New Rules

Thank you, Alan Roth
Taylor
Jack Bogle's Words of Wisdom: "Not everything that counts can be counted, and not everything that can be counted counts."
"Simplicity is the master key to financial success." -- Jack Bogle

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burnsh
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Re: Take Control of Your Financial Future With These 4 New Rules"

Post by burnsh » Wed Oct 09, 2019 12:12 am

A lot of that article sounds like what Mr Money Mustache wrote in 2012.

https://www.mrmoneymustache.com/2012/01 ... etirement/
Burnsh | ______________________________________ | VFIAX 17%, VVIAX 17%, VEXAX 16%, VTIAX 21%, VGSIX 9%, VIPSX 10%, VBMFX 10%

Howard Donnelly
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Re: Take Control of Your Financial Future With These 4 New Rules"

Post by Howard Donnelly » Wed Oct 09, 2019 5:08 am

Interesting. Thank you, Taylor.

josehde
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Re: Take Control of Your Financial Future With These 4 New Rules"

Post by josehde » Wed Oct 09, 2019 7:06 am

Insightful stuff, man. Thanks for this. Gives me motivation to have a clearer perspective on financial security, which I'm just starting to explore. Heck, months ago, I would have jumped into investment offers I didn't know much about, like this one from Stock Dork: gold stocks an acquaintance offered. Another was about a digital marketing business.

Would've been a complicated mess a few years from now, but thank goodness for a community like Bogleheads. Now I'm all about research and getting to know what I'm getting into before saying yes to anything. And these 4 rules seem so simple, yet so interestingly powerful.

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Re: Take Control of Your Financial Future With These 4 New Rules"

Post by abuss368 » Wed Oct 09, 2019 8:29 pm

Thanks Taylor for the excellent summary.
John C. Bogle: "Simplicity is the master key to financial success."

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Cubicle
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Re: Take Control of Your Financial Future With These 4 New Rules"

Post by Cubicle » Wed Oct 09, 2019 11:16 pm

"New Rule No. 2: A penny saved isn't a penny earned — It's more."
This, so many times over. Similar but different, I say to people "a dollar saved is $1.41 earned". After the puzzled look I start rambling about taxes.

Thanks to Larry for excellent summary & article link.

David Althaus
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Re: Take Control of Your Financial Future With These 4 New Rules"

Post by David Althaus » Thu Oct 10, 2019 7:48 am

Personal finance (for lack of a better term) can be really "goofy." People who make a lot of money in this business all too often cost the average investor lots of money. People like Taylor are paid nothing but add tremendous real value. I hope Mr. Roth can make some money from writing and advising.

Article yesterday about Ivy League endowments (all trailing a 60/40 portfolio) further drive home the point. Move to a perpetual 60/40 and get superior investment results in perpetuity--at very low cost. Instead, (maybe it's human nature) they continue in search of "sophistication", factors that performed last year, private equity after the game is about over, and hedge funds with their 2 and 20. Donors should demand better.

I shall now climb off the soap box.

All the best

Silk McCue
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Re: Take Control of Your Financial Future With These 4 New Rules"

Post by Silk McCue » Thu Oct 10, 2019 8:28 am

David Althaus wrote:
Thu Oct 10, 2019 7:48 am
I hope Mr. Roth can make some money from writing and advising.
I think he is managing to scrape by. :)

Cheers

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