Thursday, December 23, 2010

3 SIMPLE RULES

Many people in the financial business try and complicate investing. Generally for their own means. There is an old book titled "Where are the Customers Yachts?" referring to a story about a client looking out into NY harbor at all the brokers and bankers yachts, then asking where are the customers yachts? The moral is: Wall St firms make money at the customers expense, and they need to make investing seem complicated in order to justify their fees.

What research shows it that, over time, investors don't need to pay for research, complicated buying and selling schemes. What one needs to do is follow a few simple rules - 3 of the best are laid out in the link below.

I like to say that the secret to investing is: there is no secret. Follow a few simple rules and you will have success. I really like the approach that Bill Schutheis promotes in his book and blog "the Coffeehouse Investor"

Follow the link to his 3 simple rules:

http://www.coffeehouseinvestor.com/investing-you-understand/the-three-principles-of-investing/

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