DIY Financial Advisor

Wesley R. Gray , Jack R. Vogel , David P. Foulke 지음

Wiley 2015년 08월 10일 출간

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DIY Financial Advisor: A Simple Solution to Build and Protect Your WealthDIY Financial Advisor is a synopsis of our research findings developed while serving as a consultant and asset manager for family offices. By way of background, a family office is a company, or group of people, who manage the wealth a family has gained over generations. The term 'family office' has an element of cachet, and even mystique, because it is usually associated with the mega-wealthy. However, practically speaking, virtually any family that manages its investments&m-independent of the size of the investment pool&m-could be considered a family office. The difference is mainly semantic. DIY Financial Advisor&outlines a step-by-step process through which investors can take control of their hard-earned wealth and manage their own family office. Our research indicates that what matters in investing are minimizing psychology traps and managing fees and taxes. These simple concepts apply to all families, not just the ultra-wealthy. But can&m-or should&m-we be managing our own wealth? Our natural inclination is to succumb to the challenge of portfolio management and let an 'expert' deal with the problem. For a variety of reasons we discuss in this book, we should resist the gut reaction to hire experts. We suggest that investors maintain direct control, or at least a thorough understanding, of how their hard-earned wealth is managed. Our book is meant to be an educational journey that slowly builds confidence in one's own ability to manage a portfolio. We end our book with a potential solution that could be applicable to a wide-variety of investors, from the ultra-high net worth to middle class individuals, all of whom are focused on similar goals of preserving and growing their capital over time. DIY Financial Advisor is a unique resource. This book is the only comprehensive guide to implementing simpl

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Preface xi Acknowledgments xiii PART ONE Why You Can Beat the Experts 1 CHAPTER 1 Are Experts Trying Too Hard? 3 Why Do We Rely on Experts? 6 What Are the Experts&' Incentives? 9 Are Experts Worthless? 11 The Expert&'s Hypothesis 13 Summary 14 Notes 15 CHAPTER 2 Simple Models Typically Beat the Experts 17 The Evidence Shows… 20 A Study of All the Studies 21 What if Experts Have the Model? 23 But Investing Is Different, Right? 24 Why Experts Fail to Beat Models 26 Summary 28 Notes 29 CHAPTER 3 Experts Are Biased and Overconfident 31 The Biased Brain 33 Summary 47 Notes 48 CHAPTER 4 Experts Tell Us Stories, Not Facts 49 Story-Based Investing 52 Evidence-Based Investing 53 The Recap: Why Experts Fail 60 Why Not Use Models? 62 Summary 63 Notes 64 PART TWO How You Can Beat the Experts 67 CHAPTER 5 A Framework for Investment Decisions 69 Assessing an Advisor Is Difficult 71 The FACTS Framework 75 We&'ve Got the FACTS: Now What? 86 Summary 90 Notes 90 CHAPTER 6 A Simple Asset Allocation Model That Works 91 Asset Allocation 95 A Simple Asset Allocation Model That Works 98 But Which Assets Do We Choose? 103 Summary 104 Notes 105 CHAPTER 7 A Simple Risk Management Model That Works 107 A Simple Risk Management Model That Works 109 How Does ROBUST Work? 113 Summary 121 Risk Management Research (For Geeks Only) 121 Notes 129 CHAPTER 8 Simple Security Selection Models That Work 133 Value Investing 134 Momentum Investing 140 A Simple Momentum Model That Works 146 Combining Value and Momentum 148 International Stocks 151

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저자(글) Wesley R. Gray

WESLEY R. GRAY, PHD, is the founder of Alpha Architect, LLC, where he is the executive managing member. Dr. Gray is the co-author of Quantitative Value: A Practitioner's Guide to Automating Intelligent Investment and Eliminating Behavioral Errors. JACK R. VOGEL, PHD, is a managing member of Alpha Architect, LLC, where he heads the research department, writes papers on empirical asset pricing, and serves as the Chief Financial Officer. DAVID P. FOULKE is a managing member of Alpha Architect, LLC. He assists in business development, firm operations, strategic initiatives, and developing papers on quantitative investing and behavioral finance topics.

저자(글) Jack R. Vogel

저자(글) David P. Foulke