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Within the 336 pages of the Bogleheads' Guide to Investing, Larimore, Lindauer and Le Boeuf deftly discuss and analyze virtually every area of Bogle's investment principles and strategies for the common, everyday American investor. For instance, in Part One "Essentials of Successful Investing," the authors explore how important it is for investors to examine very closely their own financial status before taking the proverbial plunge into mutual funds or any other type of investment. Three ways to accomplish this includes altering one's mentality related to living a sound financial lifestyle, calculating one's overall net worth, paying off high interest credit cards and loans and commencing to create an emergency fund which can be used as a back-up source of income (the Bogleheads' Guide, 2006, pg. 4). For Jack Bogle, this attitude seems to have paid off handsomely, for he is now considered as the quintessential mutual fund investor/creator in America. Ironically, Bogle was born in 1929, the same year as the devastating stock market crash which initiated the beginnings of the Great Depression, forcing millions of Americans into bankruptcy and financial ruin. Thus, it is little wonder that Jack Bogle chose to pursue a degree in economics at Princeton University in order to avoid a financially dismal future, something which Larimore, Lindauer and Le Boeuf also discuss at length in their book, thus making it not only fascinating reading but also mandatory for anyone considering to "take the plunge" as they say in investing in mutual funds and related investment entities.
Certainly, in order to become a successful and profitable investor in mutual funds, it is of prime importance to start investing as soon as possible, due to the fact that the earlier a person begins, the more compound interest will be accrued over the long haul. In addition, as Bogle so acutely points out, every investor must become a very frugal individual, meaning that one must constantly attempt to cease wasting money on things which bring about no financial advancement and instead invest in mutual funds or other types of entities which over several decades will increase one's net worth and lay the foundation for a solid financial future (the Bogleheads' Guide, 2006, pg. 15).
Bibliography
Larimore, Taylor, Lindauer, Mel & Michael Le Boeuf. (2006). The Bogleheads' Guide to Investing. New York: Wiley Publishing Co.
Review: The Bogleheads' Guide to Investing." (2007). Internet. Retrieved March 22, 2009 from http://www.thesimpledollar.com/2007/03/17/review-the-bogleheads-guide-to-investing.
The Greatest Investors: Jack Bogle." (2009). Investopedia. Internet. Retrieved March 22, 2009 at http://www.investopedia.com/university/greatest/johnbogle.asp.
Bibliography
Larimore, Taylor, Lindauer, Mel & Michael Le Boeuf. (2006). The Bogleheads' Guide to Investing. New York: Wiley Publishing Co.
Review: The Bogleheads' Guide to Investing." (2007). Internet. Retrieved March 22, 2009 from http://www.thesimpledollar.com/2007/03/17/review-the-bogleheads-guide-to-investing.
The Greatest Investors: Jack Bogle." (2009). Investopedia. Internet. Retrieved March 22, 2009 at http://www.investopedia.com/university/greatest/johnbogle.asp.
Mutual Fund Manager Definition of the Fund Manager Position and Major Responsibilities Securities and Exchange Commission defines a mutual fund as a company that pools money from many investors and invests the money in stocks, bonds, short-term money market instruments, other securities or assets, or some combination of these investments (U.S. Securities and Exchange Commission, 2008). Mutual funds are in turn operated by professional money managers, the fund managers, who invest the
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