5 comments about Come Into My Trading Room: A Complete Guide to Trading.

1. Dr. Elder is probably a successful trader who makes a lot of money selling his books about trading. I have no real negative comments about any of Dr. Elder's book except for his comments when it comes to daytrading. He seems to think that no one makes a living daytrading and that simply is not true. Dr. Elder, did you read Market Wizards? Are were those profiles not real? Yes, most traders probably shouldn't be daytrading or haven't been trading long enough to just dive in, but traders like Marty Schwartz, Paul Tudor Jones, Mark Cook, etc., etc. daytrade and make lots of money. In fact, millions. I'm sure there are many daytraders out there that no one knows about that do quite well. I just wonder why you don't even acknowledge that it's even possible to succeed, especially when it's done everyday. I like Dr. Elder's way of trading and use it in some of my trading, but it's not the only way. All traders and all methods are not equal and they all can't be judged by Dr. Elder's methods alone. His way is just another way of trading. Having said all this, I strongly recommend Dr. Elder's books because they are very good for all traders no matter the experience.



2. Extremely well written even a beginning trader will understand. I highly recommend this book especially for traders who've been trading actively but seem to be getting nowhere. A book worth keeping.



3. Not only I enjoyed a lot reading the book, but also learned a lot. The most important thing I learned is that to make money in the markets it is much more important your mental approach to trading rather than your technical knoledge. Essencial reading.



4. I think that it is very difficult to give the right information for such a matter, but dr. Elder has succeeded in saying the right thinks in the right way, even to a person like me that is almost a beginner in the trading affair. Really great.



5. Simply the finest book on trading I have read to date. I credit this book with being a large part of why I went from consistently losing on trades, to consistently making profits. I think that traders in any market would benefit from this book, and if you don't learn valuable lessons from this book you simply aren't trying. The sections on triple screen trading are worth the price of admission alone. I've read a lot of lousy trading books, so I though it was worth posting my very first review for the best.

5 comments about Beating the Street.

1. If you are looking for books that will sharpen your skills as an investor put this one on the top of your list along with books about Warren Buffett and Phillip Fisher. Peter Lynch was one of the all time greatest mutual fund managers ever during his time at the Magellen Fund. We are fortunate that he wrote several books in his retirement. This book will give you a good understanding of Mr. Lynch's investment style which include: investing only in companies you understand, use the knowledge you have of your own industry to outperform Wall Street analysts, trips to the mall are great opportunities for research by looking at which stores are the busiest, and keeping your eyes wide open to hot trends around you. Lynch believes in buying stocks at reasonable P/E ratios, and loves to buy if the P/E matches the earnings growth rate of a company. He shys away from companies when the stock price out performs the earnings and the stock becomes over priced. Lynch believes that eventually the stock price will reflect the value of a company, so it is great to get an excellent company for a low stock price.You get many examples of how he picked stocks for his Barron's round table in 1993, this gives excellent insight into how his mind works, Peter Lynch is truly a genius at stock picking for long term investment. You will receive 25 golden rules from Peter Lynch in this book, follow them and you will do very well in the market.



2. After managing the Fidelity Magellan fund for thirteen years, mutual fund guru Peter Lynch retired on May 31, 1990 at the age of forty-six. Since then, Lynch continues to propound his message that the amateur investor has a distinct comparative advantage in stock picking relative to Wall Street professionals. For example, mutual fund managers are restricted to investing no more than 5% of their total assets in any one stock, and they cannot own more that 10% of any one company's stock. These constraints limit their profit, but not for the average investor. Lynch adamantly chants his mantra, "Buy stocks! If this is the only lesson you learn from this book, then writing it will have been worth the trouble" (18).
   
   One major reason for touting stocks is that they have grown by an average of 11% (i.e. 8% capital gain + 3% dividend) per/year over the last seventy-years, despite over forty market corrections. Aside from short-term stock-price fluctuations, Lynch believes that in the long-run there exists a strong correlation between the success of a business and its stock price. Therefore, anyone can successfully invest in stocks provided they use common sense observation, and proven valuation strategies that they recheck every three-months. Lynch recommends the NAIC (National Association of Investors Clubs) to neophyte investors who want to learn how to evaluate a business, and be part of an organization whose methods routinely beat the market averages. Amazingly, 75% of professional mutual fund managers fail to outperform the S&P after fees.
   
   When searching for possible companies to invest in, Lynch visits the Burlington Mall in Massachusetts to see where everyone shops. Lynch says, "The very homogeneity of taste in food and fashion that makes for a dull culture also makes fortunes for owners" (152). When analyzing stocks Lynch looks at several prospective indicators:
   
   Fundamental Analysis:
   1) Look at for stocks whose charts show earnings above price. These businesses have value that have yet to be priced-in
   2) The P/E ratio shouldn't be greater than the business' earnings growth rate
   3) Particularly in retail stocks, look for an increase in same-store sales
   4) Best conditions for businesses to grow earnings are in niche or regional markets where there is little competition and much room for expansion
   5) Insider buying is a good sign that the business is doing well
   6) Look for arbitrage opportunities where a business is selling at a discount relative to its peers despite similar composition and performance
   7) When taking a "top-down" approach look at the "affordability index," median home value, and % of mortgage defaults published by the National Association of Home Builders
   
   Technical Analysis:
   1) Buy stocks on Mondays, and from October through December when historical prices are lowest



3. After reading this book, I felt I got everything I set out to gain from this informative book. The content is relative today as it was when it was first written, the change in mindset gained from this book has been quite extraordinary.



4. This book is old school, but boy is it a classic. I've always been fascinated with stocks and the stock market but in the late 90s, past the apex of the day trading craze, I decided to set a small amount of money to partake in some of the action. I set up my account, started watching CNBC like a nut, and dove right in. Before doing so, I used Mr. Lynch's book as my guide and the biggest thing I learned is to stay grounded and avoid the mania and manic depression of the market. This book is not for slick, know-it-alls with pretensions of timing the market and making fast money, Vegas style. No, this book is for sober grown-ups who are willing to take a longer and more rational approach.
   
   I think the best lesson the book offers is to stick to investing in companies you know and trust (and buy from). By following that simple advice I've been able to earn very handsome gains. In addition, the primer on how to read a balance sheet is easily worth the price of admission. There's just lots of great information presented that will make you a relatively savvy investor. This book demystifies a lot of the perceived complexity of the market and shows ordinary people how to get in on the action. It's sober and timeless advice you can use even today.



5. Peter Lynch discusses his successful 13 years of running Fidelity's Magellan mutual fund. After a short professional autobiography, he explains his methodology for selecting stocks and explores a few dozen January 1992 stock picks in detail. Lynch wrote this book in the last days before the ubiquity of personal computers and the Internet's copious and accessible financial information. Still, Lynch offers pithy investment advice (each unfortunately titled with a boldface "Peter's Principle") that transcend the book's early-1990s setting. His enthusiasm should inspire most beginning to intermediate investors for whom this material is recommended. Due to its age, used copies of this book should be widely and cheaply available.

5 comments about Buckets of Money: How to Retire in Comfort and Safety.

1. Ray's advice makes sense in today's economy and takes the "don't put your eggs all in one basket" concept one step further.
   
   As retirees, we're living longer than ever, and our money has to last. The old advice of putting your retirement into CD's doesn't work anymore, "bucketizing" does.
   
   Note: This review doesn't constitute legal or tax advice and is only my opinion. Please consult your own legal, financial or tax adviser.



2. Very easy to locate, order, and receive book. Price was the best I could find along with quick shipping. This was for my husband and he was very happy with the purchase too.



3. Buckets of Money: How to Retire in Comfort and Safety
   Great read and very helpful for anyone who is saving for retirement or is already retired. Ray's radio show is also a good place to obtain investment planning material.



4. So much has been written on how to accumulate assets from retirement, using dollar cost averaging, asset allocation and focusing on long-term returns. But when you retire the rules change - short term market volatility can destroy a portfolio in the draw down stage and dollar cost averaging is an awful withdrawal method. Ray's "Buckets of Money" method offers a logical approach to break down a long term retirement goal (30+ years) into shorter "investment" timeframes. Read this before you retire!



5. This book is a great book, especially if you don't have a plan already. Ray Lucia puts his thoughts together in an organized manner, and easy to understand. Too often, financial books get into industry terminology that just get people confused. This should give any investor at any age a good grip on how to make financial markets easy.
   
   The book is geared more for folks that are about to retire or are within a few years of retirement; however, the book is very good for those that have several years to retirement as well.
   
   If you have no investment plan, then I recommend this book. If you have a plan that is working for you already, then you may want to stick with that plan. But it never hurts to look at another type of investment strategy, which is exactly what this book is...strategy.

5 comments about Take the Cold Out of Cold Calling.

1. As a business owner I am always looking for tools to improve. Within the first couple of weeks it has paid for itself. This is a "must have" for all business people whether you are in sales or not. The tools and suggestions will help you in all areas of your life. If possible attend the seminar!



2. I attended a webinar that Sam held and learned valuable useful information. As a result I purchased his book "Take The Cold Out Of Cold Calling" and I highly recommend this book it is a valuble resource tool. I write Business Plans, Marketing Plans and Request for Proposals (RFPs) for a living and I cannot begin to count the total number of hours spent on research this book has saved me. If you utilize the internet to research or if you are a salesperson looking for leads you need to purchase this book. -Leah E. Curry



3. Sam Richter's Book, "Take the Cold out of Cold Calling" is exactly what he says it is...a tool to help the reader find enough information to actually make the call a warm, informed call. There is no reason to be nervous when you feel you have a reason to call...and that makes the call warm.
   
   I tried many of his tips on getting information quicker and they all worked! I actually researched a company that I was calling on, found the most recent press release, which revealed that my current contact had RETIRED!!!! It pays to do your research to avoid looking stupid.



4. After conducting an audio interview with the author, I've used his suggestions multiple times. Most recently, it led to me getting called back for a second meeting about what could be a large piece of business. The tactics work!



5. I just finished reading, and before I even finished I had success. Will recommend to anyone who wants to increase networking skills and research ability for projects, clients or prospects. This will be a powerful tool for many different levels of education.

5 comments about The Market Guys' Five Points for Trading Success: Identify, Pinpoint, Strike, Protect and Act!.

1. Good introduction book to read if thinking about starting to invest. Most of the information is basic that I've seen in a lot of free educational webiners on broker websites. Review and repetition is a good thing, the mother of skill and the key to being a successful trader.



2. It covered from money management to technical entry and stop position. It is one of the best trading book I ever read. Thank you.



3. This book in my hand is worth ten books out there.It's one of the most complete book on trading I have read.The easy to read format and simple set ups,with money management makes this book a stand out.Thank you AJ and Rick for a job well done.I highly recommend this book, especially for
   anyone who's serious about their trading.



4. I consider this book to be a must read when you invest. The approach to investing that they recommend is very simple and is the best group of ideas I have come across yet. Their chapter on mistakes to avoid is critical reading, every time I have neglected their recommendations it has cost me money. This chapter alone is worth many times the price of the book. In today's highly volatile market their trading recommendations are even more useful.



5. AJ and Rick are such great teachers and truly are in this for our benefits,this book is a"must read" for beginners and everyone alike.

5 comments about The Ultimate Dividend Playbook: Income, Insight and Independence for Today's Investor.

1. Overall good overview of dividend stock investing. But too much of the author marketing talk about his newsletter is a turn off for me, his track record should be included in his service promotion material.
   
   The title of this book should be The Ultimate Dividend Playbook...- Subscribe my newsletter and go fishing.



2. This book uncovers one of the most powerful investing techniques that no one seems to know - that investment in high dividend growth companies can be extremely profitable. The author explains why and gives some innovative insights into how to implement such a strategy. The book is worthwhile alone for the two tables that show examples of companies that meet the author's criteria. Based on this book I plan to expand my investments of this type.



3. Nicely lays out the plays to find a money generating stock for the long haul. Very helpful in todays environment.



4. Solid, detailed analysis, which will help you to understand why you should have some degree of emphasis on dividend stocks in your portfolio. Written in an easy-to-read style and highly recommended.



5. I DO BELIEVE THAT JOSH PETERS HAS DISCOVERED THE HOLY GRAIL OF "HANDS ON" STOCK MARKET INVESTING ! I CAN'T THINK OF A BETTER WAY TO GET RICH SLOWLY THAN COMPOUNDING INCREASING DIVIDENDS OVER A PERIOD OF YEARS. WORKS LIKE MAGIC, ESPECIALLY IN RETIREMENT PLANS. LOTS OF FUN AND LESS STRESS.
   
   TRY IT, YOU'LL LIKE IT !

5 comments about The Intelligent Asset Allocator: How to Build Your Portfolio to Maximize Returns and Minimize Risk.

1. My broker never told me what an "efficient frontier" was. Maybe he didn't know. Or maybe he thought I was too dull to know what it was. In any case, the author of this book does a good job of explaining how to set up a portfolio of different asset classes in index funds, and makes it understandable to a liberal-arts major like me. I especially like the analogy of the uncle's coin-toss retirement plan in the first chapter. Very engaging. I learned a lot of statistics theory from that simple yet profound example. Don't be intimidated by this book's title. It's a wonderful book for anyone interested in minimizing risk while maximizing return.



2. This book is great from the perspective that it gives you a detailed look at historical returns using different investing methods and different asset classes. It takes you on a walk using statistics that leads you to the conclusion that getting into the market, staying in the market with a low cost (Trading fees and other cost associated with maintaining a portfolio) and properly allocated portfolio is the only time tested way to maximize your returns over the long term. While " A Random Walk Down Wall Street" is a great book and I recommend it as well, this book is better written with detailed reviews and supporting data.
   
   I would say that some Excel and statistical knowledge is very helpful, but not required to understand, appreciate and utilize this book.
   
   I bought this book two years ago and read it several times (As the writer suggest). As a result I re-allocated my portfolios and the results are great in two respects. I have smooth out volatility by using beta / Standard Deviation and improved my returns on average with proper allocation methods. Even in this crazy market of 2007 / 2008 I'm up 13%, 25% and 33% is various portfolios that I have. The methods and thought perspectives really work for the long-term investors. Highly recommended for the serious long term investor.



3. From the title "How to Build Your Portfolio to Maximize Returns and Minimize Risk". The book fell short, by quite a large margin.
   
   The book is a quick read and that was a bad thing. I was looking for an in depth explanation on how to build a good asset allocation. The math for pick two asset classes is explained and how those asset classes, when picked correctly, can actually decrease risk and increase performance to better either one held individually. This all makes sense and was nothing too to me, but a topic that must be covered in a book on this topic.
   
   The problem is, there is not a systematic way to calculate the optimal risk reward profile for an entire basket of asset classes explained in the book. When the book get into explaining multiple asset classes, the explanation on how to arrive at which asset classes and what percentages of each gets wishy washy. They do provide templates asset classes you can use, but so does everyone free on the internet.
   
   I finished this book sorely disappointed that I did not learn anything new to help build an intelligently allocated portfolio.



4. He tries to simplify the math. Result: Unclear explanations.
   He mentions Markowitz allocation and says that the portfolio projected using historical parameters did poorly. Then what do you do? His equal part allocation?
   
   He apparently strongly support indexing based on poor mutual fund performance. Later he says the title of the book is in honor of Benjamin Graham. Graham taught how to choose stocks based on fundamentals.
   So what? Indexing or stock picking?
   
   Frankly, I found the book a bit confuse because of he did not clearly answer the above questions.



5. William Bernstein has written an excellent book on Asset Allocation. I was first introduced to the book at a local chapter of AAII. It was highly recommended by all the members who had read it.I found the book to be an easy read and held my interest all the way through.I can't say that about many books on financial subjects.His research along with the data presented as tables and graphs was easy to follow and understand.It was well worth the time and money spent.

4 comments about Standard and Poor's Guide to Money and Investing (Standard & Poor).

1. This book describes the basic ways to invest your money. It covers markets and currency, stocks, bonds, indexes, mutual funds, ETFs, options, futures, and other alternative investments (briefly).
   
   The format is very easy to read - there are lots of diagrams and pictures, which actually provides a good break from the large amount of dense information provided. One thing I liked (but that some may find annoying) is the frequency of repeating definitions. Between various sections, concepts are often defined multiple times. I found this useful, since it reminded me what a certain concept was without having to go back and find it earlier in the book.
   
   In general, the information is pretty accurate and up-to-date. However, I noticed 1 error on the idea of fluctuation in currency value (International Investing in the Money & Markets section, p. 21), which gets the concept of a "strong dollar" during an international equity trade backwards, but then follows with an example diagram that gets it right. I was frankly surprised to see such a glaring mistake. I e-mailed the publishers, but received no response.
   
   Another thing that I didn't like is the fact that, for some numbers in some of the diagrams, there is no mention at how the numbers were calculated/derived. I personally like to see/try all the formulas, so that was slightly annoying. But for the most part, I was able to figure out the formulas myself.
   
   In conclusion, the book does an excellent job introducing various investment opportunities. It covers general information on each investment vehicle and describes the risks associated. It does not, however, teach you any special strategies (other than the obvious "diversify your portfolio" and "use strategies to minimize risk" ones) on investing - this is not the purpose of the book.
   
   While I was initially put off by the brochure-like format and the clip-art-like pictures, I was pleasantly surprised by the content and the ease with which the information was presented. I certainly recommend this as an entry book for someone who does not understand the different ways to invest in various markets.
   
   Pros:
   + nice introduction to markets and exchanges, and how they are regulated
   + covers all of the important investment vehicles used today
   + lots of useful information - good reference
   + lots of diagrams and pictures to break up the text
   
   Cons:
   - a few mistakes
   - relatively dense - don't expect to blow through it if you want to retain the information



2. I have been reading a bit about investing for a decade but still felt I lacked a clear and comprehensive understanding of the previously overwhelming world of money and investing. NO MORE! I have found nothing that compares to the clear, concise and highly readable format of this book. The color coded and cearly defined sections helped me digest the well-organized and very readable material. However, the author's far exceed the abilty of most to clearly and concisely explain the most difficult and complicated of topics. This little book is a gem.
   I feel like I've had a brief course in economics and investing and am now able to knowledgably and confidently discuss investing with the most savvy of finanical experts, agents, and those know it alls one often encounters. I will most certainly be looking at other Lighbulb Press materials.



3. As a financial advisor I've read a lot of books about investing; Recently my little brother asked me for a book to get started. This is the one I truly recommend above all the rest. A truly professional yet simple read.



4. This book is very helpful for gaining an understanding of investing. The layout is clear and interesting, and there is a lot of useful information packed into this small guide!

5 comments about Value Investing: From Graham to Buffett and Beyond (Wiley Finance).

1. Fantastic summary of modern value investing. Greenwald looks at the discipline with the critical eye of a professor, making it more informative than many other books about the subject. Even seasoned value investors will learn from this book.



2. The authors announce their intention to bravely go "beyond" Graham and Buffet. I found their effort extraordinarily interesting. Not because it brings new ideas from the frontiers of Value Investing; but rather because it forced me to revalidate old ones.
   
   Written mainly by academics, the book attempts - with undeniable clarity - to provide a simple framework for valuation of a firm using Value Investment principles. First, three sources of value are defined: Asset Value; Earnings Power Value; and Value of Growth. Second, some conceptual tricks are employed to link them in a theoretical structure capable of supporting hours of animated tutorial discussion.
   
   The importance of Asset Value in the scheme derives from the idea that if a firm that has no defenses against competitors it is worth no more, or less, than the replacement value of the assets necessary to set up a similar business.
   
   To illustrate, imagine a defenseless firm that is worth 2x on the stockmarket while its productive assets are worth only 1x. Attracted by the absence of barriers to entry and by the high market value achievable with a substantially lower investment, enterprising businessmen set up similar businesses.
   
   As the new capacity comes on stream the market is inundated with products of the same type and prices and profits consequently fall. The process only ends when the market value of all the firms has fallen to the value of their assets, thus eliminating the differential that attracted new market entrants in the first place.
   
   For this to happen we must have an idealized market of perfect competition: lots of buyers and sellers, undifferentiated products, no barriers to entry, perfect information, etc. In practice, however, a dozen firms with similar assets will generate a dozen different levels of profit. And in the end, as the book admits, it is profit expectations, not assets, that determine the value of an on-going business.
   
   I wondered if Graham and his associates ever subscribed to this concept. In my 5th edition of "Security Analysis" I found the ambiguous comment: "ECONOMISTS believe that high returns on capital attract competition which ultimately forces down the rate of profit" (my capitalization). This same edition affirms that it is "The earning power of the assets in use (that) determines their investment value" (rather than the replacement value of these assets). I could find no evidence that the notion formed a key part of the valuation process described in the value-investing classic.
   
   Moving on, We are told that the major difference between Earnings Power Value and Value of Growth, when used to estimate intrinsic value, is the confidence we can place on the result. It is notable, however, that both definitions of value exist in the same continuum. To calculate Earnings Power Value we can simply assume growth to be zero in the traditional Discounted Cashflow formula for estimating intrinsic value.
   
   Beyond a certain point it is reasonable to suppose that the degree of confidence we can put on an intrinsic value calculation falls with the size of profit growth projected. How much faith would we have in a value based on a growth projection of 30% per annum, for example? But why should zero growth produce an intrinsic value closer to the truth than 5% per annum? Is one really inherently safer than the other? What about the risk of deceleration in the case of an assumption of zero growth? Conservatism does not mean ignoring reality.
   
   Once again it all seems part of a jolly academic game. The questionable differentiation between Earnings Power Value and Value of Growth allows the authors to find a role for another element: the franchise - the defenses the firm possesses against competition. They thus arrive at a tidy little conceptual framework. If a firm has no franchise then its intrinsic value is represented by its Asset Value. If the franchise is weak then we base our estimate on its Earnings Power Value. And if it has a rock-solid franchise we might just be able to introduce the Value of Growth. Does all this have any useful meaning in the real world?
   
   Aside from these conceptual questions I found the book exceptionally practical in describing the details of how to value the assets and evaluate the franchise of a firm. On the other hand I found the profiles of eight value investors rather tedious.



3. While reading Graham himself is invaluable, this book is an excellent contribution to the field of value investing in its own right, and brings modern techniques that have been employed in this field for finding value. In addition, the author does an excellent job at qualifying Graham's valuation techniques over DCF valuation. Value investors do not disagree with DCF in principle, but its reliability, based on countless assumptions may not produce consistent results that align a firm's current reality and strategy with its intrinsic value. The latter part of the book discusses techniques of well known value investors and innovations to the field that they have brought to the table. Gabelli's private market value and control premium concept, as well as Seth Klarman's theme of looking for forced sellers are some of the highlights in this section.



4. I got this book from Amazon several years ago, have read it several times and applied it to my own investing. It is not for beginners, but does not require a Phd either. The authors present a rational philosophy and a unique, detailed method that will help you to really estimate the intrinsic value of a share of stock, and then they walk you through actual examples. The writing is interesting, concise, well organized, and clear. The book provides a backgroud of traditional value investing methods, and then introduces a model which builds upon and advances the body of value investing knowledge. I have read many books on value investing, and this is probably the best. Some of the material is difficult, but even if you don't get everything you will still profit from the book and find it interesting and thought provoking. The second half of the book, from Chapter 9 to the end, profiles various professional value investors, their philosophies and methods. This part of the book was probably included mostly to provide filler, but it is easy reading and contains some useful information.



5. This book is not about value investing, it is about modern security analysis, which is exactly what Graham warned against. It places an emphasis on growth over actual value. One of Graham's fundamental principles was that future growth is completely unreliable and any analysis based on it is just a speculator's way of justifying his gamble. While I liked the book's coverage on franchises and competitive advantage it highlights the fact that fundamentals weren't discussed at all.
   
   Here is the biggest example of why this book is so far off the mark. It highlights Intel as a value investment. The stock currently has a P/E of 25x and has always been over priced from a valuation standpoint. Not only that but Intel's only possible competitive advantage is size. Yes modern value investors look for good companies with long term competitive advantage but not at a high cost. Buffett was famous for sitting out the dotcom boom because they were not value investments.
   
   The only reason this book was not a one star book were the biographies of value investors in the second half of the book.

5 comments about Your Money and Your Brain: How the New Science of Neuroeconomics Can Help Make You Rich.

1. "Know thyself" was the recommendation from the Greek philosophers. This books leads you to that same objective. The impressive difference is the Greeks did not have MRIs to scan their brains when we were thinking deep thoughts.
   
   Zweig does two very important things.
   
   He brings science to the process of making investments. It's not quant models of the S&P, but an understanding of the 'investor.' We are human and we respond, even in the Wall Street world, based on circuitry configured over a million years of living off the land. His prolific description of experiment after experiment convinced me that his lessons were real and based on the best behavioral science available (and I hope there is more on the way). The book is not a screaming-head extorting the wonders of the magic method of getting rich. What a relief!
   
   The second very valuable aspect of this book is Zweig does not talk down to you. He takes you on a journey through your brain -- much more complicated than I understood. But you don't get swamped by the complexity -- this is not an anatomy text. As a matter of fact, it was a little scary for me because I'd stop to contemplate what I was contemplating. It's a little zen-like.
   
   He encourages you to examine your investing failures and successes then relate those decisions to the mechanisms between your ears.
   
   "If you can dream -- and not make dreams your master;
   If you can think -- and not make thoughts your aim,
   If you can meet with Triumph and Disaster
   And treat those two impostors just the same."
   'If' by Ruyard Kipling; 1895
   
   Will you become a billionaire? Not likely. But then, that wasn't likely anyways. You will say, ten years down the road of investment, I'm here because I want to be here and here is where I belong. With all the millions of baby-boomer Americans (I'm one of those) facing the retirement future -- this book sets the tone. Read, enjoy, learn, prosper.



2. This book provides awesome insight into how we make investment decisions. I read lots of investment books & highlight the sections I think are important to reread later. It would've been easier to black out the passages that wern't important to me. Hopefully, with this knowledge I'll make better decisions. Everyone should read this book



3. I usually enjoy books on personal finance and psychology as I believe these two subjects to be quite interesting and fascinating so when I came across this book, I was really excited since it puts these two subjects together in one reading. Basically it explains how your emotions can sometimes disrupt logical thinking when it comes to your personal finance. The writing is not as focused as I would like, but there are some pretty interesting points. The most important one that seems to repeat throughout the book is that what you expect is always better than what you finally get. My wife is living proof.



4. If even a blindfolded chimp can pick stocks successfully, how come you and I can't?
   
   Part of the problem seems to be that the human brain was programmed by thousands of years of evolution to operate in a particular way; and while human brains are very, very good at tasks that are similar to the tasks our ancestors faced a couple of hundred thousand years ago, investing in financial markets requires us to perform new analytical tasks that just don't come that naturally to us. The habits learned over thousands of years of evolution just don't work that well in today's financial jungle.
   
   But help is on the way!
   
   Zweig's book presents some interesting information about studies in behavioral finance, evolutionary psychology, and neuroscience (e.g., MRI studies of the brain activity of people pondering "investment" decisions), and then uses that information to help explain how people make investment decisions and how they could do better.
   
   The book is very well done. Each chapter covers a separate topic like Greed, Confidence, Risk, Fear, Surprise, Regret, and Happiness. Most chapters contain a brief "man in the street" discussion of how the chapter's subject emotion influences investing behavior, followed by a discussion of brain activity in subjects actually engaging in behaviors relevant to the chapter's topic. It was very interesting to see how "man in the street" views are supported or contradicted by controlled, scientific studies.
   
   Most chapters contain anecdotes illustrating the chapter's topic. There are some pretty sad stories. Even people you'd think would know better frequently do some really dumb things. "Human nature" is hard to overcome, even for professionals.
   
   For example, I think everyone knows that when Enron collapsed, its employees lost not only their jobs but also their nest eggs, because their 401(k)s contained so much Enron stock. Everyone knows that sad story, and certainly no professional would ever let the same thing happen to him/her, right? Well, during the recent Bear Stearns meltdown, I heard a news report about the 401(k) plans there. Do you think the Bear Stearns employees learned anything from the painful lesson that Enron taught? Sad, sad, sad.
   
   The bottom line, as Zweig's book shows, is that investing generates very powerful emotions. Recent, scientific studies can help us understand why our emotions are so powerful and why they make us do some of the things we do, which in turn can help us control our emotions and make better investment decisions.
   
   The book's actual investment advice is pretty standard: diversify, re-balance, pay attention to costs, don't chase performance, etc.; but knowing more about how our brains work helps show why that standard advice is so appropriate.
   
   P.S. There is some technical language about brain anatomy, but it is pretty limited; about what you'd hear in an episode of "CSI: Las Vegas" or "Bones."



5. Wealth Odyssey: The Essential Road Map For Your Financial Journey Where Is It You Are Really Trying To Go With Money?
   
   Jason Zweig does an excellent job at summarizing the research about what happens inside our heads when we think about our different relationships (feelings, greed, confidence, risk, fear, surprise, regret, and happiness - each with their own chapter) with money and investing. Our brains have spent more time evolving in hunter gatherer and agrarian settings than they have in the modern technological age. That hard wiring inside our heads affects our thinking and reactions - often without us even realizing it has happened.
   
   Among the observations in the book: Our expectations are more intense that the experience. Most of us don't understand our own behavior. And much more.
   
   The work may disappoint some in that there are few suggestions about how to use this kind of new found knowledge when designing an investment allocation. In my opinion, this is not a major weakness with his work. There has to be research with modern medical machinery on the phenomenon before application can follow. This is not to say that works applying this research are not out there, only to say that the purpose of Zweig's work was to review the research to date on the inner workings of the brain, period. The first step in recognizing what we do is to recognize how our brains actually think: when and where the thinking, or reacting, processes occur.
   
   A companion book to this one would be Predictably Irrational by Dan Ariely which researches our behavior through experiments on people, how we act and react to different situations related to money, rather than the mechanics and chemistry of inside the brain when confronted with those situations.
   
   Ariely's work also does not include how to design a portfolio allocation. Neither of these works intended to. They intended to describe our behaviors. Knowing how and why we behave the way we do is just as important, maybe more so, as portfolio design. In fact, my observation is that people are often in more of a hurry to design the perfect portfolio, as an end in itself, than understand the what-and-why of the portfolio and their relationship with it and investing.
   
   A fascinating field of study, which is just beginning to be able to explore the inner workings of our minds through modern non-invasive methods, to tell us why we behave the way we do with money - we're only human.