You Can Never Be Too Rich

<p>Preface vii</p>
<p>Acknowledgments ix</p>
<p>Disclaimer x</p>
<p>Introduction: Hollywood and the Art of Investing 1</p>
<p>Chapter 1 The Top 10 Lessons Hollywood teaches us about investing 7</p>
<p>Lesson 1: Diversification is the key to success 7</p>
<p>Lesson 2: It doesn t have to be complicated for it to be effective 8</p>
<p>Lessons 3: It s the details that count 8</p>
<p>Lessons 4: Costs are critical 9</p>
<p>Lesson 5: Planning is key 9</p>
<p>Lesson 6: Cut the losers, ride the winners 10</p>
<p>Lesson 7: Experts focus on reducing risk; Novice focus on return 11</p>
<p>Lesson 8: Don t reinvent the wheel 11</p>
<p>Lesson 9: Complacency is the mother of all disasters 12</p>
<p>Lesson 10: Defy conventional wisdom and take smart risks 12</p>
<p>And one more for the road: if there s a will there s a way 13</p>
<p>Chapter 2 To Beat the Market, Be the Market 15</p>
<p>What Billy the Bully teaches us about investing 17</p>
<p>Going down? 18</p>
<p>Swing easy 20</p>
<p>Diversification 21</p>
<p>Off to the races: An introduction to asset allocation 22</p>
<p>Stocks, funds, or indexes 31</p>
<p>The index advantage 44</p>
<p>Building the house 53</p>
<p>How to pick a stock like Warren Buffett 64</p>
<p>A simpler way to pick individual stocks 67</p>
<p>Real–world sample portfolio 68</p>
<p>How to beat Wall Street in nine seconds flat 71</p>
<p>Lifestyle funds 74</p>
<p>The fine art of buying low and selling high 76</p>
<p>Wrapping it up 87</p>
<p>How much should I be saving 88</p>
<p>Chapter 3 Reliable Returns 93</p>
<p>Generating reliable returns 94</p>
<p>The most dangerous game 96</p>
<p>The numbers don t lie 99</p>
<p>How to avoid the most dangerous game 101</p>
<p>Are you playing the most dangerous game? 102&nbsp;</p>
<p>Stock Market Stan teaches us a lesson 108</p>
<p>Getting away from the most dangerous game 111</p>
<p>Bonds 114</p>
<p>Individual bonds versus Bond Mutual funds 118</p>
<p>Bond ladders 120</p>
<p>Final points on bonds 126</p>
<p>Preferred stocks 130</p>
<p>Dividend stocks 135</p>
<p>The Great Wallendas teach us a lesson 153</p>
<p>Investing in the markets with safety nets beneath you 154</p>
<p>Annuities: Aren t they bad? 156</p>
<p>Variable Annuities 159</p>
<p>Certificates of deposit: When 6 percent = 0 percent 169</p>
<p>Index Annuities 172</p>
<p>Real Estate 175</p>
<p>Chapter 4 Adding a Little Life to your Life 179</p>
<p>Why would I buy life insurance 180</p>
<p>Term versus permanent life insurance 181</p>
<p>Adding instant wealth to your estate 184</p>
<p>Profiting from selling your life insurance policy 184</p>
<p>Tax–free retirement income 187</p>
<p>Long–term care benefits 188</p>
<p>Spend all your money and still leave it all behind 189</p>
<p>Have someone else pay the tax 191</p>
<p>Doubling your income at retirement: The private pension 194</p>
<p>The private pension and IRAs 205</p>
<p>One million dollars– for free? 206</p>
<p>Life insurance: Conclusion 213</p>
<p>Chapter 5 A break in the action 215</p>
<p>Chapter 6 Individual retirement accounts (IRAs) 219</p>
<p>IRAs: defined 220</p>
<p>IRAs: Frequently asked questions 221</p>
<p>IRAs: Conclusion 241</p>
<p>Chapter 7 A few words on Taxes 243</p>
<p>How your investments are taxed 244</p>
<p>Dividend tax 245</p>
<p>Oridinary income 246</p>
<p>Capital gains 248</p>
<p>Summarizing the three most common taxes 251</p>
<p>The mutual fund tax problem 252</p>
<p>Solving the mutual fund tax problem 253</p>
<p>The one time receiving money from someone is a terrible thing 255</p>
<p>Conclusion 258</p>
<p>Chapter 8 The Bottom of the Ninth 259</p>
<p>What s the worst that could happen? 260</p>
<p>Anatomy of a living trust 264</p>
<p>Five estate planning blunders to avoid 266</p>
<p>Chapter 9 Support and Maintenance 277</p>
<p>Qualifications 278</p>
<p>Interviewing your potential advisor 280</p>
<p>10 things some advisors would rather you didn t know 282</p>
<p>Investment clubs 291&nbsp;</p>
<p>Chapter 10 Conclusion 293</p>
<p>Bibliography 299</p>
<p>Internet Resources 301</p>
<p>Index 303</p>