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The Little Book of Main Street Money: 21 Simple Truths that Help Real People Make Real Money (Little Books. Big Profits) (9780470473238): Jonathan Clements, William J. Bernstein: Books. Street Smart Tips for Main Street Content from author Jonathan Clements 1. Don’t pay an insurance company to shoulder risks you can afford to shoulder yourself. 2. To make it easier to amass enough for retirement, aim to start saving no later than age 30 3. Make it a point to sock away tax refunds, year-end bonuses, overtime pay, and any other extra money you receive 4. Mentally divide your portfolio into growth money and safe money – and expect a rough ride from the former and comfort from the latter 5. The harder you try to beat the market, the more likely you are to fail, thanks to the investment costs involved. 6. By building a portfolio that is unlikely to suffer big short-term losses, you should improve your long-run investment compounding. 7. Unless your health is poor, plan on a retirement that lasts until age 90 – and maybe longer. 8. Resist following the crowd, whether it’s chasing hot performers in bull markets or shunning stocks during market declines. 9. Before purchasing a house, make sure you will stay put for at least five years and preferably longer. 10. If you’re a conservative investor inclined to buy bonds, consider making extra principal payments on your mortgage instead. 21 Simple Truths that Help Real People Make Real Money Content from author Jonathan Clements 1. Our finances are bigger than a brokerage account 2. We can’t have it all 3. Money can buy happiness – if we spend it carefully 4. Even the best investors need to be great savers 5. Time is as valuable as money 6. No investment is risk-free 7. Portfolio performance – it’s all in the mix 8. Stocks are worth SOMETHING 9. To add wealth, we need to overcome the subtractions 10. Aiming for average is the only sure way to win 11. Wild investments can tame our portfolios 12. Short-term results matter to long-term investors 13. A long life is a big risk 14. Markets may be rational, but we aren’t 15. Our homes are a fine investment that won’t appreciate much 16. Paying off debts could be our best bond investment 17. Saving taxes can cost us dearly 18. A tax deferred is extra money made 19. Insurance won’t make us any money – if we’re lucky 20. Even if we have a will, we may not get our way 21. Financial success: it’s about more than money
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