How a Second Grader Beats Wall Street: Golden Rules Any Investor Can Learn

I have read a lot of finance books through the years. One thing I notice is - generally, at some point in most or all of these books, I become confused. Sometimes the language is confusing, the recommendations too complex to follow, or the concepts don't make sense to me. I always try to take notes, create graphs, google all the concepts - and usually toss the book into a corner in frustration. My portfolio remains the same and I turn back to Amazon and my on-line library to search again. I also get the sense that the author either is trying to sell me something or is intent on proving him or herself as a wall street "wizard."Then, a few weeks ago, I picked up Allan Roth's book. Mr. Roth has a engaging writing style - this book tells the story of his son, who received some money from a relative, and how he used this gift to teach him lessons about building a solid portfolio.In How a Second Grader Beats Wall Street, Mr. Roth walks us through those same lessons: finding solid but reliable returns through no load mutual funds, keeping an eye on taxes while investing and staying the course by not jumping in and out of investments. Keep it simple, he says.And so, for the first time, I discovered a book that made sense to me. I finished this small guide and was able to develop a very simple outline of what I could do with my savings and retirement funds. I feel comfortable with my decisions and now know the steps I needed to take to get my funds in the right places. I will be putting that plan into place this upcoming week and look forward to "staying the course."If you are someone who is tired of trying to interpret thousands of financial "experts" recommendations into a simple and effective plan for your money, whether you have $1000 to spare or $10,000, buy this book. I think you won't regret it.

It’s usually tedious for me to read financial books and articles. I find myself getting easily overwhelmed. But this book held my interest all the way through, with simple humor, logic, and explanations I could follow. I’m ready to put these concepts to work as it makes sense to me! Tom

Allan Roth challenged his son (at the time in the second grade) to invest some money, and it became a learning experience that all of us can benefit from. Though the book was published in 2011, the funds mentioned and the advice given is spot on.If you are overwhelmed by the complexity and overwhelming choices in investing, DON'T give your money to a financial planner without seeing how you can do this for yourself. You don't need to pay 1% of your earnings (every year) for someone else to do it. This book shows you how to do it yourself. And if you are interested, the book gives a couple additional chapters on adding other investment vehicles.Allan Roth also has a wonderful website which can be found by searching for his name and "Wealth Logic" that goes by the appropriate name "dare to be dull." I highly recommend a look at his articles and insights.His motto is "I want you to be able to fire me." As a financial planner, this book allows you to follow his advice on your own. I have the highest respect for the man, and appreciate his straightforward, no-nonsense approach to investing. I liked the book enough that I gave a copy to a friend!

Must readGreat book on basics of investing.Very important to take advantage of the current dip in the stock market

This book was recommended to me by a friend who was getting educated on 'index' investing. I must admit that I was not expecting very much. I was certain the stock advisors I had were giving me good advice and my returns were above average.Boy did I have a lot to learn.This book was extremely well written and can be followed by everyone from the most experienced investors to those whose investment experience ends with writing their check to their broker for their Yearly IRA contribution.The concepts were eye opening. While I considered myself somewhat educated in the area of investing, the book lead me through concepts that my brokers had never introduced me to. (All the while explaining why my broker never introduced these concepts to me.)I especially enjoyed the way he explained why Wall Street does what it does, and why investors respond the way they do. I also appreciated Allan's honesty about times he himself could not help 'placing a bet' on some single stock. (With the extremely small portion of his portfolio dedicated to playing the market of course...)All in all, an excellent book for any investor who is new to index investing.Real insight.Real, easy to follow, examples.Real advice on how to move forward.All this and the price of the book is a great deal less than the 5% load I paid on my mutual fund purchases last year.Thank you Allan for an excellent introduction to something that so many of us get so completely wrong.

This book covers most of the basics of financial planning and is a great reference for any investor. It is like a simplified college level finance course that will help young people understand most aspects of the financial world. It is easy to break down into pertinent topics as people begin to want to understand how investing works.

Very good read.

If u read. good read.

Thx for everything, glad i got the book.As far as i know this one you cant get in Austria !So thx AMAZON :)

This an excellent explanation of the 'passive investment' strategy which is appropriate for DIY investors such as myself who really do not have the time and inspiration to make a full time hobby out of investing. I found myself faced with the stock market when my pension was consolidated in a SIPP for various reasons. After months of grappling with it, I settled on passive index trackers which this book explains exceedingly well. The only slight frustration I had is the US centric nature of the advice. I wasn't 100% sure sometimes if I could translate it all to the UK.

Perfect!