Money For Life: Build the Wealth You Need to Live Your Dream - Hardcover

Sheard, Robert

Hardcover

ISBN 10: 0066620430 ISBN 13: 9780066620435

Publisher: Harper Business, 2000

Synopsis

Sheard redefines the concept of "retirement" as an issue of financial independence that can be achieved at any age. He spells out clearly, as no book has before, exactly how to set up and reach personal financial and lifestyle goals through savvy investing. Designed for boomers now in their peak earning years, the book cuts through the complicated formulas and actuarial tables to show readers how to figure out exactly how to plan for and achieve financial independence.

Eschewing the traditional approach to retirement at 65, the book acknowledges that boomers are in a hurry. They want to get on with their lives, change careers, take sabbaticals -- in short, to pursue their dreams. By abandoning the age criteria and formulating a new approach to retirement, Sheard makes this possible. Using the techniques he made famous while with the Motley Fools, Sheard develops a framework that treats individuals as self-sustaining "foundations," living off a well-invested nest egg. He clearly shows the reader what steps to take in order to make financial independence possible.

Mr. Sheard gained a broad following at The Motley Fool. His audience will undoubtedly be interested in Money For Life. He is now an investor columnist with the Microsoft Network.

About this title

About the Author

Robert Sheard is an internationally known investment writer. His first book, The Unemotional Investor, was a New York Times and Business Week bestseller and was named one of the Best Business Books of 1998 by the editors at Amazon.com. His work has appeared on the Motley Fool and Microsoft Investor and in numerous magazines, including Modern Maturity. He is a founding partner in the private money management firm Sheard & Davey Advisors, LLC (www.sheard-davey.com).

From the Back Cover

Sheard redefines the concept of "retirement" as an issue of financial independence that can be achieved at any age. He spells out clearly, as no book has before, exactly how to set up and reach personal financial and lifestyle goals through savvy investing. Designed for boomers now in their peak earning years, the book cuts through the complicated formulas and actuarial tables to show readers how to figure out exactly how to plan for and achieve financial independence.

Eschewing the traditional approach to retirement at 65, the book acknowledges that boomers are in a hurry. They want to get on with their lives, change careers, take sabbaticals -- in short, to pursue their dreams. By abandoning the age criteria and formulating a new approach to retirement, Sheard makes this possible. Using the techniques he made famous while with the Motley Fools, Sheard develops a framework that treats individuals as self-sustaining "foundations," living off a well-invested nest egg. He clearly shows the reader what steps to take in order to make financial independence possible.

Mr. Sheard gained a broad following at The Motley Fool. His audience will undoubtedly be interested in Money For Life. He is now an investor columnist with the Microsoft Network.

Reviews

An investment adviser and author of The Unemotional Investor, Sheard believes that most people erroneously look toward retirement as a financial goal. Instead, he says, everyone should strive for financial independence, the point at which one has accumulated enough money that one no longer has to work. Obviously, this amount will vary by age, lifestyle and other considerations, but Sheard offers a foolproof formula that works for everyone: "Financial independence = annual income requirement x 20." To determine the annual income requirement, readers must determine what they currently spend on housing, income taxes, healthcare, transportation, etc., as well as any potential sources of future income (such as pensions). Sheard's strategy is straightforward and easy to understand. Yet, while financial independence is certainly a goal that people should work toward, many readers will need more help applying this formula to their own finances. The second half of the book offers advice on working with financial advisors, using index funds and selecting brokers, but some of this advice may confuse inexperienced investors. And Sheard touts the benefits of buying stocks on margin; a tactic that is too risky for most people. For readers already well versed in handling their investments, this book offers a fresh approach to long-term financial planning; beginners should look elsewhere. (Sept.)
Copyright 2000 Reed Business Information, Inc.

Now an independent investment advisor, Sheard was a member of David and Tom Gardner's Motley Fool crew and is the author of The Unemotional Investor: Simple Systems for Beating the Market (1998). There he presented several formulas for investors to use depending on individual investment goals. Now he provides another formula for those hoping to ensure financially secure futures. Sheard suggests that it is a mistake to think of retirement in terms of age. One's goal should be financial independence, and decisions to retire should be based on personal lifestyle choices. His formula itself is quite simple. To achieve financial independence, one should calculate his or her annual income requirement and multiply by 20! That figure is the size of the stock portfolio one must build in order to live solely on investment income. Sheard explains in detail how he devised the formula and why it works. He then recommends strategies for building such a portfolio, disdaining both diversification and mutual funds and arguing that the "only long-term investment is common stock." David Rouse
Copyright © American Library Association. All rights reserved

Edition details

• Publisher: Harper Business
• Publication date: 2000
• Language: English
• ISBN 10: 0066620430
• ISBN 13: 9780066620435
• Binding: Hardcover
• Edition number: 1
• Number of pages: 288