The Only Guide You'll Ever Need for the Right Financial Plan

Dedication.
 
Acknowledgments.
 
Preface.
 
Part I: Investment Policy in an Uncertain World.
 
Chapter 1: The Uncertainty of Investing.
 
Efficient Frontier Models.
 
Chapter 2: The Investment Policy Statement.
 
The Foundation of the Investment Plan.
 
The Need for Plan B.
 
The Worst Case Should Not Be the Base Case.
 
Part II: Allocation of Assets.
 
Chapter 3: Asset Allocation.
 
The Ability, Willingness, and Need to Take Risk.
 
When Conflicts Arise.
 
Risk Factors.
 
Chapter 4: Equities.
 
Equities versus Fixed Income.
 
U.S. Equity versus International Equity.
 
Emerging Markets.
 
Value versus Growth.
 
Small-Cap versus Large-Cap.
 
Real Estate.
 
Your Home.
 
Collateralized Commodity Futures.
 
Socially Responsible Investing.
 
Chapter 5: Fixed Income.
 
Credit Quality.
 
Short-Term versus Long-Term Maturities.
 
The Results at Different Equity Allocations.
 
Reasons to Reduce Maturity Risk.
 
Reasons to Increase Maturity Risk.
 
Municipal Bonds.
 
Inflation-Protected Securities.
 
Short-Term Fixed Income versus TIPS.
 
Chapter 6: Alternative Investments.
 
Convertible Bonds.
 
Covered Calls.
 
Fixed Income Currency Exposure.
 
EE Bonds.
 
Emerging Market Bonds.
 
Equity-Indexed Annuities (EIAs).
 
Gold.
 
Hedge Funds.
 
High-Yield (Junk) Bonds.
 
Leveraged Buyouts (LBOs).
 
Leveraged Funds.
 
Master Limited Partnerships.
 
Mortgage-Backed Securities (MBS).
 
Precious Metals Equities (PME).
 
Preferred Stocks.
 
Private Equity (Venture Capital).
 
Stable-Value Funds.
 
Structured Investment Products.
 
Variable Annuities.
 
Chapter 7: Liabilities and Asset

LARRY E. SWEDROE is Principal and Director of Research for The Buckingham Family of Financial Services, which includes Buckingham Asset Management and BAM Advisor Services. Buckingham Asset Management manages more than $2 billion in assets for individuals, businesses, trusts, not-for-profits, and retirement plans. BAM Advisor Services provides turnkey asset management services for more than 120 registered investment advisor firms and manages or administers more than $9 billion in assets. Swedroe has held executive level positions at Prudential Home Mortgage, Citicorp, and CBS. He frequently speaks at financial conferences throughout the year and writes the blog "Wise Investing" for CBS MoneyWatch.com.
 
KEVIN GROGAN is an Investment Advisor Associate for The Buckingham Family of Financial Services.
 
TIYA LIM is an Investment Strategy Manager for The Buckingham Family of Financial Services.

"Larry Swedroe's work comes as close to being the definitive investment book of our time as any that I can imagine. His greatest gift is his ability to communicate with profound simplicity, bringing clarity to the daunting challenge facing investors who are intent on reaching their financial goals." -- Bill Schultheis, author of The Coffeehouse Investor

"If you're looking to sharpen your financial thinking, let Larry Swedroe be your guide. With insights from The Only Guide You'll Ever Need for the Right Financial Plan, you should be able to raise your financial game--and maybe boost your family's wealth." -- Jonathan Clements, author of The Little Book of Main Street Money

"Just as every successful builder needs a blueprint, so too does every successful investor need a personally tailored investment policy. How much stocks, how much bonds? Foreign versus domestic? When and how to begin Social Security or withdrawing from your IRA? Larry Swedroe plots your financial life from cradle to grave (and even beyond). Don't invest without it!" -- William Bernstein, author of The Four Pillars of Investing

"This is a most excellent book! Either as a great educational read or an indispensible reference, The Only Guide You'll Ever Need for the Right Financial Plan will pay you back many times over the cover price." -- Harold Evensky, President, Evensky & Katz [BACK COVER COPY CONTINUED]

"If you have investing experience, and want to improve your portfolio, this is the book to read." -- Taylor Larimore, coauthor of The Bogleheads' Guide to Investing

"Larry Swedroes work comes as close to being the definitive investment book of our time as any that I can imagine. His greatest gift is his ability to communicate with profound simplicity, bringing clarity to the daunting challenge facing investors who are intent on reaching their financial goals."
--Bill Schultheis, author of The Coffeehouse Investor
 
"If you're looking to sharpen your financial thinking, let Larry Swedroe be your guide. With insights from The Only Guide You'll Ever Need for the Right Financial Plan, you should be able to raise your financial game--and maybe boost your family's wealth."
--Jonathan Clements, author of The Little Book of Main Street Money
 
"Just as every successful builder needs a blueprint, so too does every successful investor need a personally tailored investment policy. How much stocks, how much bonds? Foreign versus domestic? When and how to begin Social Security or withdrawing from your IRA? Larry Swedroe plots your financial life from cradle to grave (and even beyond). Don't invest without it!"
--William Bernstein, author of The Four Pillars of Investing
 
"This is a most excellent book! Either as a great educational read or an indispensible reference, The Only Guide You'll Ever Need for the Right Financial Plan will pay you back many times over the cover price."
--Harold Evensky, President, Evensky & Katz
 
"If you have investing experience, and want to improve your portfolio, this is the book to read."
--Taylor Larimore, coauthor of The Bogleheads' Guide to Investing