“Don’t do something, just stand there.”
— Jack Bogle
What I Learned From Great Investors
“Do not save what is left after spending, but spend what is left after saving.”
— Warren Buffet
When people reflect on what drives their investment success, they often focus on asset allocation, security selection, cost, and taxes as key drivers. Savings and investing rates are frequently overlooked. How much you save and invest and how early you start matters because investments will compound over time. And that is a powerful force.
“The real purpose in saving is to empower you to keep your priorities - not to make you sacrifice.”
— Malkiel & Ellis
We want to enjoy today while planning and providing for our tomorrows. We want opportunities now and in the future, and that’s what savings provides. With all that said, there is no reason to deprive oneself. As Ellis says, the goal is not to “squeeze money from a tulip” but to feel better about how you live your life by making your own very best choices, which entail prioritizing what you want, need, and enjoy.
“Compound Interest is the most powerful force in the universe.”
— Malkiel & Ellis
Benjamin Franklin stated the benefits of compounding as follows: “Money makes money. And the money that money makes, makes money.” You can accumulate much more money by starting as early as possible and taking advantage of compounding’s marvels!
What I Learned from Great Investors
Meet Owen.
This summer, 2024, marks five years since my grandfather introduced me to investing. I recall eavesdropping on conversations my father and grandfather had on the porch. Listening to their debates about the markets, interest rates, trade policy, and corporate governance piqued my interest. I paid attention and asked questions – so many so that they started taking me to conferences and, most excitingly, enabled me to start my first investment account and assist with my portfolio design and management. My grandfather instilled in me the secret that good, sound investing is straightforward in its execution, and the long-term benefits are tremendous. It does not need to be overly complex!
Investing Giants and Me pays tribute to great financial minds and allows me to share and reflect on some of the meaningful quotes from investment thinkers that intrigue me. I hope that they resonate with you as much as they do with me. No matter your background, resources, or financial situation, these great thinkers will leave you with something to chew on and perhaps forever change your thinking—just as they have mine.