The Boglehead’s Guide to Investing
The Boglehead’s Guide to Investing: introduction
The Boglehead’s Guide to Investing changed my life, financially speaking. I hope it does the same for you.
Jack Bogle, the late founder and CEO of Vanguard, offered practical solutions for the everyday investor for decades. In many ways, he was a visionary and a pioneer in the world of mutual fund investing.
His prudence earned him a reputation for being a shrewd, grounded investment manager. As a result, he had significant influence on several generations of investors.
An online community called The Bogleheads dedicates their time to following Bogle’s advice. Over the years, they have written hundreds of articles and posts about a wide variety of financial topics. This book includes some of their most significant and important work.
The Boglehead’s Guide to Investing part 1 – essentials of successful investing
The first part of the book starts with basic financial principles, and I cover these on this website. Some of these principles include:
- Choose a sound financial lifestyle
- Start early and invest regularly
- Know what you’re buying
- Keep it simple
These principles are timeless and tremendously important. I talk about all of these in a variety of places on this website.
Once the Bogleheads get beyond the philosophy of investing, they move on to more practical tips for investors.
Action steps to take
Next, they move into the details of the average investor’s financial plan. Then, their ideas become more actionable. They cover such important topics as:
- Asset allocation
- Reducing investment costs
- Avoid the mistake of trying to time the market
- Savvy ways to invest for college
- How to manage a windfall successfully
- Pros and cons of hiring a financial advisor
The Boglehead’s Guide to Investing part 2 – Follow-through strategies
Part 1 of the book is for the average investor. First, it starts by getting investors to focus on the strategies that lead to building wealth over time. Then, they offer practical discussions on specific investing topics.
Part 2 covers long-term strategies for keeping your financial plan on track. The major topics covered include:
- Track your progress and rebalance when necessary
- Master your emotions
- Make your money last longer than you do
- Protect your assets by being well-insured
- Passing on your wealth to your family
I read this book when I was in medical school. It profoundly affected how I approach investing. The Boglehead’s Guide to Investing offers a complete approach to investing. I like that it is also easily accessible to the average investor.
Investing books cover complex concepts. The Bogleheads bring these concepts down to the level of even the most novice investor.
For the experienced investor, there’s still plenty of good stuff in here. So, you should follow all the lessons taught in The Boglehead’s Guide to Investing. If you do, there’s almost no way to avoid becoming a millionaire.
The average everyday millionaire is not a doctor. In fact, “doctor” is not in the top five jobs for millionaires. That’s because physicians spend a lot of time thinking about patient care. But, they spend almost no time thinking about their personal finances.
I strongly recommend this book to anyone interested in building wealth, regardless of education or income level. I think this is one of the top ten books ever written on the subject of investing for the average person.
This book will help you master your personal finances. In doing so, you can obtain financial security. Go read this book today!
Buy the book here.
If you like that book, you’ll love these books as well:
- The Millionaire Next Door
- Everyday Millionaires
- The Total Money Makeover
- The White Coat Investor
- The Physician Philosopher’s Guide to Personal Finance
Full disclosure! So, if you buy the book using any of the links on this page, I’ll earn a small commission from Amazon Associates. Your support helps with the cost of maintaining the site, and I really appreciate it!