The little book of common sense investing : the only way to guarantee your fair share of market returns / John C. Bogle.

Author: Bogle, John C.

Publisher: Hoboken, N.J. : John Wiley & Sons, 2007.

ISBN: 9780470102107 (cloth)
0470102101 (cloth)

Description: p. cm.

Subject: Index mutual funds.

Notes: Includes indexes.

Contents: A parable with a moral. The Gotrocks family -- Business reality trumps market expectations. Here begins the first lesson -- Casting your lot with business. Occam's razor writ large -- Why most investors lose to the market. "The relentless rules of humble arithmetic" -- The grand illusion. Surprise! The returns reported by mutual funds aren't actually earned by mutual fund investors -- Taxes are costs, too. Don't forget Uncle Sam -- Returns during the past 25 years were far above long-term norms. What happens if future returns are lower? -- Selecting long-term winners. Don't look for the needle? Buy the haystack -- The futility of chasing short-term performance. "Fooled by randomness" -- Seeking help in selecting funds? Look before you leap -- Selecting the lowest-cost equity funds. The more the managers take, the less the investors make -- Holding index funds that own the entire stock market. The majesty of simplicity -- Bond funds and money market funds. The relentless rules repeat, even more powerfully -- Creating indexes that beat the market. The new paradigm? -- The exchange-traded fund. A trader to the cause -- What would Benjamin Graham have thought about indexing? You heard it here -- "The relentless rules of humble arithmetic." Reprise -- What should I do now? Funny money, serious money and investment strategy.