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Rated The Little Book of Common Sense Investing: The Only Way to Guarantee Your Fair Share of Stock Market Returns 8/10

Great book explaining why passive investment strategy is superior for majority of individual investors. In my opinion, this book is much clearer and better structured than Bogle's "Don't Count On It" which I read before.<br/><br/>The book explains the cost structure of active and passive mutual funds, regression to the mean in fund performance over long term and value of broadest possible diversification. Bogle backs all arguments up with many decades of data. Last chapter gives a clear and succinct investment advice.<br/><br/>One point where I wished a clearer explanation was author's view on ETFs. Bogle dismisses index ETFs as an unnecessary complication over index funds, and an outright heresy when traded "day in and day out". Whether Bogle acknowledges index ETFs value for buy-and-hold investment remained unknown.<br/><br/>Another critique of the book would be its sole focus on US investors. Here again, a more nuanced coverage of ETFs could highlight that ETFs are more convenient way for non-US residents to invest in S&P 500.

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Published 2026-02-15 10:04 UTC · bridged from Atmosphere