Malkiel B.G., Ellis C.D. The elements of investing

Wiley, 2010. – 178 p. – ISBN: 0470528494, 9780470528495In the updated edition of The Elements of Investing, authors Charles Ellis and Burton Malkiel—two of the world's greatest financial thinkers—have again combined their talents to produce a straight-talking book about investing and saving. Written with every investor in mind, this reliable resource will put you on a path towards a lifetime of financial success.
Page by page, Malkiel and Ellis skillfully focus their message to address the essentials and offer a set of simple, but powerful thoughts on how to avoid Mr. Market and his "loser's game," and instead enjoy the "winner's" approach to investing. All the investment rules and principles you need to succeed are here—with clear advice on how to follow them.
Shows you how to focus on the long term instead of following market fluctuations that are likely to lead to costly investing mistakes
Contains investment insights that can carry you all the way to, and through, retirement
Written by Burton G. Malkiel, the bestselling author of A Random Walk Down Wall Street, and Charles D. Ellis, the bestselling author of Winning the Loser's Game
A disciplined approach to investing, complemented by understanding, is all you need to enjoy success. This practical guide explains what you really need to know and puts you on the right course for long-term success through all kinds of markets.Preface to Updated Edition
ForewordIt All Starts with Saving
Save
First Do No Harm
Start Saving Early: Time Is Money
The Amazing Rule of 72
Savvy Savings
Small Savings Tips
Big Ways to Save
Let the Government Help You Save
Own Your Home
How Do I Catch Up?Nobody Knows More Than the Market
The Index Fund Solution
Don’t Some Beat the Market?
Index Bonds
Index Internationally
Index Funds Have Big Advantages
One Warning
Confession
Diversify
Diversify Across Asset Classes
Diversify Across Markets
Diversify Over Time
Rebalance
Avoid Blunders
Overconfidence
Beware of Mr. Market
The Penalty of Timing
More Mistakes
Minimize Costs
Keep It Simple
Review of Basic Rules
Asset Allocation
Asset Allocation Ranges
Investing in Retirement
Getting Specific
Timeless Lessons for Troubled Times
Volatility and Dollar-Cost Averaging
Diversification Is Still a Time-Honored Strategy to Reduce Risk
Rebalancing
Diversification and Rebalancing Together
Index at Least the Core of Your Portfolio
Fine-Tuning a Bond Diversification Strategy
A Final Thought
A Super Simple Summary: KISS Investing
Appendix: Save on Taxes Legally
Individual Retirement Accounts (IRAs)
Roth IRAs
Pension Plans
Tax-Advantaged Saving for Education
Recommended ReadingAbout the Authors