18 Rules of Sensible Investing - How to Avoid Common Mistakes and Achieve Uncommon Success (Paperback)

18 Rules of Sensible Investing pinpoints the eighteen most common mistakes personal investors make, shows you how to avoid each one, and points the way to the correct decisions that will maximize the long-term success of your investment portfolio. Reto Gallati distills his rules of smart investing from the lessons and insights he gained from making his own errors and systematically correcting them over the course of a 30-year career both as a private investor and as the head of investments at Nuveen, deputy chief risk officer at Putnam, and deputy chief investment officer at Goldman Sachs. Based on his practical insights into what works and what doesn't, he offers specific warnings on what to avoid and specific recommendations on what strategies and practices will enable you to construct, maintain, and adapt your investment portfolio for long-run success through good times and bad. This little book retails no mystic secrets, magic equations, or clandestine tips. The author is a stubborn and unapologetic believer in the fundamental principles of sound long-term investment: quality, diversification, and growth.18 Rules of Sensible Investing guides you to making the right decisions across the whole spectrum and arc of personal investmentwhether you are developing your investment plan based on thoughtful objectives that you can stick to for the long haul, conducting research, buying and selling securities, or adjusting your portfolio to achieve long-term returns that match your personal objectives.The author shows you the losses you risk by breaking the 18 rules, and he advises you on the precise steps and disciplined practices you need to follow to avoid the mistakes and reap the benefits of each rule. Under the rule "Watch Your Investments," for example, typical mistakes include not cashing out and locking in your profit, not cutting your losses, and putting too much faith in recent performance. Disciplined investors can dodge these dangers by taking such actions as regularly monitoring their investments, rebalancing periodically, and routinely adding investment funds to benefit from dollar cost averaging.Gallati's self-disciplined approach teaches you how to build a process around your portfolio that strips out the hot tips, crowd stampede mentality, judgment-clouding emotions, and other common pitfalls and instead keeps the unwavering focus on the merits of each index fund or stock investment over time. Personal investors will learn from 18 Rules of Sensible Investing how to: Define your investment profile and your specific objectives Establish a sustainable investment process based on your objectives Analyze information and perform your own research Stop making the same old mistakes Make prudent investment decisions that will secure your long-term wealth

What you'll learn How to define your investment profile and your specific objectives How to establish a sustainable investment process based on your objectives How to analyze information and perform your own research Stop making the same old mistakes Make prudent investment decisions that will secure your long-term wealth

Who this book is for

All personal investors, regardless of level of sophistication or personal investment objectives.