The Little Book of Market Myths: How to Profit by Avoiding the Investing Mistakes Everyone Else Makes

by Kenneth L. Fisher, Lara W. Hoffmans

Overview

Boost your investment returns by dodging the most common investing mistakes

In the newly updated second edition of The Little Book of Market Myths: How to Profit by Avoiding the Mistakes Everyone Else Makes, celebrated investor and Fisher Investments' founder, Executive Chairman and Co-Chief Investment Officer Ken Fisher insightfully explores many common myths costing investors dearly. Fisher provides a comprehensive guide to navigating the investment landscape more wisely, debunking widespread myths that lead to costly mistakes.

This edition delves deep into the frequent missteps made by both retail and professional investors, demonstrating how a better understanding and avoidance of these pitfalls can lead to improved long-term and short-term financial gains. Fisher critically examines why popular beliefs, such as the safety of bonds over stocks, the risk-free allure of gold, and the fear of high price-to-earnings ratios, are not only misguided but could be damaging your investment portfolio.

In the book, you'll:

• Learn why many commonly held investment beliefs are wrong and how avoiding them can enhance your financial health
• Gain insights into better investment decisions for both short-term gains and long-term growth
• Understand how to identify and correct the mistakes that could be costing you

The Little Book of Market Myths equips readers with the necessary tools to identify and sidestep the pitfalls that have ensnared countless investors. Whether you're a seasoned investor or new to the world of finance, this book is an invaluable resource for anyone looking to improve their understanding of the market and make more informed investment choices.

Product Details

ISBN-13:	9781394283194
Publisher:	Wiley
Publication date:	01/02/2025
Series:	Little Books. Big Profits
Edition description:	2nd ed.
Pages:	224
Product dimensions:	6.50(w) x 1.50(h) x 9.50(d)

About the Author

KEN FISHER is best known for his prestigious "Portfolio Strategy" column in Forbes magazine, where his over 28-year tenure of high-profile calls makes him the fourth longest-running columnist in Forbes's 90-plus-year history. He is the founder, Chairman and CEO of Fisher Investments, an independent global money management firm managing tens of billions for individuals and institutions globally. Fisher is ranked #271 on the 2012 Forbes 400 list of richest Americans and #764 on the 2012 Forbes Global Billionaire list. In 2010, Investment Advisor magazine named him among the 30 most influential individuals of the last three decades. Fisher has authored numerous professional and scholarly articles, including the award-winning "Cognitive Biases in Market Forecasting." He has also published nine previous books, including national bestsellers The Only Three Questions That Count, The Ten Roads to Riches, How to Smell a Rat, Debunkery and Markets Never Forget (But People Do), all published by Wiley. Fisher has been published, interviewed and/or written about in many major American, British and German finance or business periodicals. He has a weekly column in Focus Money, Germany's leading weekly finance and business magazine.

LARA HOFFMANS is Vice President of Content at Fisher Investments, managing editor of MarketMinder.com, a regular contributor to Forbes.com and coauthor of the bestsellers, The Only Three Questions That Count, The Ten Roads to Riches, How to Smell a Rat, Debunkery and Markets Never Forget (But People Do).

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Table of Contents

Preface ix

Chapter One Bonds Are Safer Than Stocks 1

Chapter Two Asset Allocation Short-Cuts 17

Chapter Three Volatility and Only Volatility 27

Chapter Four More Volatile Than Ever 37

Chapter Five The Holy Grail—Capital Preservation and Growth 49

Chapter Six The GDP–Stock Mismatch Crash 55

Chapter Seven 10% Forever! 67

Chapter Eight High Dividends for Sure Income 75

Chapter Nine The Perma-Superiority of Small-Cap Value 83

Chapter Ten Wait Until You’re Sure 93

Chapter Eleven Stop-Losses Stop Losses 105

Chapter Twelve High Unemployment Kills Stocks 113

Chapter Thirteen Over-Indebted America 131

Chapter Fourteen Strong Dollar, Strong Stocks 153

Chapter Fifteen Turmoil Troubles Stocks 161

Chapter Sixteen News You Can Use 171

Chapter Seventeen Too Good to Be True 181

Notes 191

Acknowledgments 201

About the Authors 205