The Bogleheads Guide to the Three–Fund Portfolio: How a Simple Portfolio of Three Total Market Index Funds Outperforms Most Investors with Less Risk

"Simple. Powerful. And unbeatable. Read it, execute it, then retire in comfort and sleep like a baby."
William J. Bernstein, bestselling author of The Investor′s Manifesto: Preparing for Prosperity, Armageddon, and Everything in Between

Discover How Focused Investing Can Lead to Tremendous Financial Growth

The Bogleheads′ Guide to the Three–Fund Portfolio shows you how to get better returns than the majority of professional advisors with just three index funds and a buy–and–hold strategy.

Sound too good to be true? Not to the legions of investors who have already amassed fortunes following the philosophy of iconic investor and founder of The Vanguard Group, Jack Bogle. Whether you want to start investing or need better returns, this comprehensive guide walks you step–by–step through determining the proper allocation of your assets, choosing smart investments, and managing your portfolio over time without losing sleep or money!

In his inspiring Foreword, Jack puts his seal of approval on this powerful and easy–to–use resource, which provides:

A five–step solution to securing wealth in Bull and Bear Markets Actionable plans for capturing more market returns than many professional investors Insights and commentary from celebrated and everyday Boglehead investors

Discover the stress–free approach to reaching your financial goals with The Bogleheads′ Guide to the Three–Fund Portfolio.

Foreword by John C. Bogle

Preface:  History of The Three–Fund Portfolio

Acknowledgments

Chapter 1 The Investment Industry

Chapter 2 John Bogle The Investor s Best Friend

Chapter 3 John Bogle Introduces Total Market Index

Chapter 4 Twenty Benefits of Total Market Index Funds (in no particular order):

Benefit 1: No Advisor Risk

Benefit 2: No Asset Bloat

Benefit 3: No Front Running

Benefit 4: No Fund Manager Risk

Benefit 5: No Individual Stock Risk

Benefit 6: No Overlap

Benefit 7: No Sector Risk

Benefit 8: No Style Risk

Benefit 9: No Tracking Error

Benefit 10: Above Average Return

Benefit 11: Simplified Contributions and Withdrawals

Benefit 12: Consistency

Benefit 13: Low Turnover

Benefit 14: Low Costs

Benefit 15: Maximum Diversification (lower risk)

Benefit 16: Efficient (best risk/return ratio)

Benefit 17: Low Maintenance

Benefit 18: Easy to Rebalance

Benefit 19: Tax Efficiency

Benefit 20: Simplicity (for investors, caregivers, and heirs)

Chapter 5 Getting Started

Chapter 6 Stay the Course

Appendix I What Experts Say

Appendix II Meet the Bogleheads

Glossary of Financial Terms

Index

TAYLOR LARIMORE is a sage on the Boglehead forums for everyone who wants to discover "the Boglehead way." Crowned the "King of the Bogleheads" by Jack Bogle, he has spent more than seven decades in finance and investing, in such positions as revenue officer for the IRS, chief of the Financial Division for the Small Business Administration in South Florida, and a director of the Dade County Housing Finance Authority. He is co–author of The Bogleheads′ Guide to Investing and The Bogleheads′ Guide to Retirement Planning.