ForeWord Reviews

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Investing the Smart Way in Stocks Bonds & Mutual Funds

Foreword Review — May / June 1998

Stephen Littauer has covered the investment frontier of stocks, bonds, and mutual funds in this easy-to-read text. It’s understandable for the beginner and filled with challenging new information for the experienced investor.

How to design a personal investment strategy is covered using diverse examples. Logic to test yourself for investment risk tolerance and how to assess risk of various investment instruments are illustrated with examples. This section tells why and how to police yourself to stick with your strategy and within your appetite for risk.

The book is filled with specific examples and references for logical diversification within stocks, bonds, and mutual funds. How-to advice and the underlying logic for allocation of assets to various instruments also are given.

Brokers have the objective to maximize returns as the investor does. A particular action may not maximize both. Littauer gives details on maximizing investor returns and even steps to bypass brokers altogether to buy mutual funds direct from the managing firm in order to save significant sales fees paid by the uninformed investor. Further explanation is given to calculate net return after fees and taxes from gross returns. This hands-on book is recommended for any investor’s reference library.

Ed Fox