Customer Reviews

The Prudent Investors Guide to Beating Wall Street at Its Own Game

5 star:		(2)
4 star:		(0)
3 star:		(0)
2 star:		(0)
1 star:		(0)

 

 

This book is about Modern Portfolio Theory, but is written for the investor not for the academic. The style is simple and serious, touching every point that should be made. I have resd other books on this topic, and all of them have terrible titles. That is not important. They also consider different degrees of detail, also not important. This one confirms my own common sense. It does not belabor simple points (a la Bogle) but states them clearly with footnotes giving proper credit. I teach a class in "Saving and Investing." Would that I could summarize as well as Bowen and Goldie do. The coverage of foreign and golobal stocks is brief and good. The opinions on bonds are sensible. Believe it or not, these are often neglected topics or are lost in the clutter. I wish the authors would come out with a third edition!

This is a very readable summary of modern portfolio theory with an emphasis on asset class diversification. The authors are skeptical about the value of "active" fund managers, and present arguments/evidence similar to those of Burton Malkiel and Larry Swedroe. However the book is more succinct than either Malkiel's or Swedroe's works. A quick read, clearly written. Originally published in the late 1990s, most of its views have held up very well over time. The authors are financial advisors and promote their services in the last chapter.