Sound Investing

In this insightful discussion, Paul Merriman compares three investment strategies: the high-reward S&P 500, the balanced 60/40 mix, and the diversified four-fund approach. He reveals that the four-fund strategy could lead to significantly higher wealth over time, with only minimal additional risk. Highlighting 55 years of data, he explores how different portfolios perform during both accumulation and retirement phases. Listeners will discover crucial insights about balancing risks, the impact of withdrawals, and the value of diversification in long-term investing.

Explore radical lifetime investment strategies by comparing an all-equity S&P 500 portfolio to a balanced 60/40 mix. Learn how these portfolios perform during major market downturns and the crucial role bonds play in protecting against withdrawal risks. Historical data reveals the long-term impacts on retirement distributions. Discover how different asset allocations can influence your financial stability in tough times, and why a conservative approach with some bonds might be a lifesaver in retirement.

Join Paul Merriman, Founder of the Merriman Financial Education Foundation and financial educator, as he shares valuable insights at FinCon. He explores the rise of index funds and critiques the FIRE movement’s one-fund strategy, advocating for small portfolio tweaks to enhance returns. Paul emphasizes key investing principles: understanding risk, staying the course through market volatility, and the importance of diversifying wisely. His expert advice aims to empower investors towards financial independence with confidence.

The host dives deep into a comparison between the U.S. 4-Fund Portfolio and the S&P 500, showcasing five decades of data. Discover how diversification impacts returns and volatility. Fascinating decade-by-decade analysis reveals that the 4-Fund strategy outperformed the S&P 500, particularly in the fourth decade. The discussion also links accumulation results to retirement planning, highlighting potential starting balances. Lists of downloadable tables support the analysis, making it a must-follow for investors!

Dive into a captivating analysis of retirement investment strategies! Discover the long-term implications of choosing between an all-equity portfolio versus a classic 60/40 mix of stocks and bonds. Historical performance data sheds light on returns and risks, while examining the impact of initial investments and contributions over 55 years. Prepare for insightful discussions to guide your portfolio decisions in this intriguing exploration of saving for retirement.

Paul kicks things off with a listener's thought-provoking letter, exploring why their insights resonate more than those of investing legends. They delve into a captivating article on the evolution of financial advice, examining how math, history, and psychology intertwine in investing. The discussion underscores the well-trodden steps to success, while revealing two areas ripe for refinement: portfolio construction and fund selection. To aid listeners, Paul suggests three Boot Camp presentations to enhance their investment strategies.

Discover the critical mistakes investors often make, such as the debate over adding bonds, even in retirement. Learn how the Ultimate Buy and Hold Portfolio has performed and why diversification is crucial. Explore the importance of tailoring investment strategies to individual needs instead of simply chasing higher returns. Gain insights into balancing risk with potential rewards, particularly with small-cap value stocks. This discussion emphasizes the need for prudent financial advice, especially for those nearing retirement.

Get ready for insights on the upcoming Bogleheads Conference, featuring big names like Vanguard’s CEO. Discover why small-cap value stocks tend to outperform the S&P 500 and how a Four-Fund Strategy can simplify your portfolio. Learn the importance of financial education for young investors and how to customize portfolios with international equities and Bitcoin. Plus, enjoy a delightful poem about the ups and downs of cryptocurrency, highlighting its speculative nature. It's all about making informed and fun investment decisions!

I had never heard of Erin Moriarity before she contacted me about having a conversation with her on “Erin Talks Money.” When I visited her Youtube channel I immediately realized what a powerhouse she is. She has over 200,000 subscribers to her Youtube channel and her videos are terrific. She has over 800 videos on topics most young investors or beginners at any age need to see. 36 videos on budgeting, 133 on retirement, and much more. Recently she started interviewing old experienced “experts." Her first two guest interviews were Ed Scott and Bill Bengen. I felt honored to be a part of a team who want to help teach her followers. Plus, if you read the comments on the YouTube video it’s obvious she has a large group of loyal followers. By the way, her followers made me feel very welcome."Erin, that was an absolute Masterclass in investing! Thanks for bring Paul to your channel. I enjoyed seeing how comfortable you and the guest were and how the conversation naturally flowed between topics. I’m going to make sure my kids view this. Advice and insights for LIFE!""Excellent video, Erin! How do we know Erin is a force in investing advice? Look at the people she's had on her channel! I'm thankful to Erin not only for the great advice, but she is someone I can show my daughters, ages 21 and 25, and go "Look at Erin. If she can invest and make good choices w her money, so can you!". This means the world to me for them to see someone they can relate to, who disseminates complicated ideas and concepts in an understandable way. And BTW, I confirmed I'm subscribed to her channel “0:00 Introduction & Meet Paul Merriman 2:14 The Power of Starting Early (For You & Your Kids) 7:14 100% Equities for Young Investors & Avoiding Overexposure to the S&P 500 14:02 Predicting Future Returns, Compounding & Patience 22:27 Market Cycles, Psychology & Preparing for Bad Times 25:12 Choosing the Right Portfolio Complexity (Levels 1–3) 34:08 Traditional vs. Non-Traditional Index Funds & Vanguard Loyalty 41:34 Why We Own the Whole Market & The Case for 60/40 46:19 Staying the Course, Chasing Returns & Capturing Extra Gains 57:00 How Investing Has Changed & Automatic Enrollment Benefits 1:01:45 Knowing When You Have Enough & The Rise of Hourly Advisors 1:08:44 The 3 Things Every DIY Investor Should Do & Closing ThoughtsWatch the video here

What’s holding investors back from building real wealth? Talking Real Money, hosts Don McDonald and Tom Cock take aim at the 10 most damaging myths, lies, and mistakes that cost investors big—often millions.You’ll learn:Why "having a guy" isn’t a strategy—it's a setupWhy predicting the market is like calling a psychicHow starting too late can cost you over half a millionThe hard truth about individual stocks, expensive advisors, and false promises of risk-free wealthWhy diversification, low costs, and understanding your real risk profile actually workDon McDonald, a 34-year financial talk radio veteran, and Tom Cock, the former host of Serious Money on PBS, join forces to cut through financial jargon and expose what really works. In every episode, they solve real money problems, share smart long-term strategies, and bring clarity to the complex financial issues that affect all of us.Talking Real Money is designed to give you the real help you need for a really great financial future—and yes, it’s actually fun to listen to.Bonus shoutout: Don McDonald also generously donated his time to narrate the audiobook version of Paul Merriman’s bestselling book, “We’re Talking Millions!” His voice brings the content to life with clarity, energy, and heart. He’s not only a brilliant communicator—he’s also a phenomenal reader. Listen to the audiobook here.