Essay - Bogleheads Guide Book Review: the Bogleheads' Guide to Investing When...

BOGLEHEADS GUIDE

BOOK REVIEW:

THE BOGLEHEADS' GUIDE TO INVESTING

***** it comes to investing, whether in stocks, mutual funds, IRA's or Treasury bonds, most people have no idea as to how ***** get started and perhaps even knows less about what to *****vest in and how much to devote ***** their investments in the form of time and money. In today's recessionary economy ***** as a result ***** wh*****t has transpired on Wall Street and at ***** large ***** firms like AIG in the last several difficult years, a good number of potential investors have become very reluctant to take any risks when it comes to ***** ********** hard-earned dollars in***** a mutu*****l fund or something similar in nature. ***** essence, in order to become a wise and profitable *****ves*****r, *****e must diligently study the markets ***** perhaps seek out the advice of a professional investment counselor.

***** on the o*****r hand, one can also consult a number of books on the topic, such as The Bogleheads' Guide to Investing by Taylor Larimore, Mel Lindauer and Michael Le Boeuf, published by Wiley Publishing Company in 2006. Although described as a self-help guide, this excellent book, written in simple l*****ymen's terms, is based upon the ***** principles of Jack Bogle, ***** founder ***** former CEO of the investment management firm Vanguard and seen by many as ***** "conscience of the mutual ***** industry" and "uncompromisingly committed to his founding ***** of putting the interest ***** the inves*****r" ahead of those that operate mutual fund management firms ("***** Greatest Investors," 2009, Internet). Overall, The Bogleheads' ***** to ***** is squarely aimed at "investing for the long term, minimizing the costs and taxes" linked to investing in ***** funds and to *****vesting conserv*****ively ("Review," 2007,

*****) in today's highly unpredictable economy.

As one of America's most ********** and powerful investors, ***** Bogle continues his thirty year-***** quest to not only transform the mutual fund industry but also to provide sound investment advice to a whole range of potential investors when it comes to ***** funds, ***** which Larimore, Lindauer and Le Boeuf cover expertly in their book. As pointed ***** by Robert Slater in his award-winning expose on the so-called "***** Experiment" ***** 1996, Bogle's ***** strategies in relation ***** mutual ***** advocates "capturing market returns ***** investing in broad-***** *****dex mutual funds" ***** are no-load, low cost, low turnover and especially passively managed ("The Greatest Investors," 2009, Internet).

To be more concise, Bogle stresses four specific *****mes related to investing in mutual ***** ***** Larimore, ***** ***** ***** Boeuf discuss w*****h great proficiency and professionalism. In order of importance, these themes include focusing upon the primary goal ***** ***** with simplicity, continually attempting to minimize costs and expenses, keeping an eye upon the economics of a long-term investment horizon and maintaining a reli*****nce on "rati*****al analysis ***** an avoidance of emotions in the investment decision-making process" ("***** Greatest Inves*****rs," 2009, *****).

Within the 336 pages ***** The Bogleheads' Guide to Investing, Larimore,