Top William J. Bernstein Quotes - Quotesmemo.com

William J. Bernstein Biography

William J. Bernstein (born 1948) is an American financial theorist and neurologist. His research is in the field of modern portfolio theory and he has published books for individual investors who wish to manage their own equity portfolios. He lives in Portland, Oregon.

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William J. Bernstein Quotes

The purpose of investing is not to simply optimise returns and make yourself rich. The purpose is not to die poor.

Investing, Purpose, Return, Simply

It's bad enough that you have to take market risk. Only a fool takes on the additional risk of doing yet more damage by failing to diversify properly with his or her nest egg. Avoid the problem-buy a well-run index fund and own the whole market.

Eggs, Fund, Index, Nest, Risk, Running

If your broker or investment advisor is not familiar with the concept of standard deviation of returns, get a new one.

Broker, Investing, Investment, Return, Standard

The deeper one delves, the worse things look for actively managed funds.

Deeper, Funds, Investing, Looks, Worse

The key aspect of an index fund is that many of them, not all of them, but many of them are extremely cheap.

Aspect, Cheap, Fund, Index, Keys

The essence of effective portfolio construction is the use of a large number of poorly correlated assets.

Assets, Essence, Numbers, Poorly, Use

Market risk is like taking a plunge into a cool pool. . . a lot of people are finding out right now what their risk tolerance is.

Like, People, Right, Risk, Tolerance

No one in his right mind would walk into the cockpit of an airplane and try to fly it, or into an operating theater and open a belly. And yet they think nothing of managing their retirement assets. I've done all three, and I'm here to tell you that managing money is, in its most critical elements even more demanding than the first two.

Airplane, Elements, Fly, Open, Retirement, Thinking

All the things that make us human make us terrible investors and you have to understand what they are and how to avoid them.

Avoid, Humans, Investors, Terrible

Mutual fund manager performance does not persist and the return of stock picking is zero.

Doe, Fund, Investing, Performance, Zero

Bluntly put, there's no chance that your doctor, dentist, or attorney is a high-school dropout. Your stockbroker, however, just might be.

Chance, Doctors, Dropout, Might, School, Stockbroker

A fast food job, for most people, should be an entry level position. If you see no path for advancement beyond that, it's time to take a real fast look at your human capital and learn a skill that will make you more money.

Entry, Fast, Jobs, Real, Skills, Take

The typical fund company services 401k plan participants in the same way that Baby Face Nelson serviced banks.

Baby, Face, Fund, Investing, Typical

The key thing about any fund is to make sure its expenses are low. You know, if you look at the funds in your plan and you see that they're all charging 1. 5 and 2 percent,you've gota bad plan.

Funds, Keys, Know, Looks, Lows, Thing

You have to understand your own psychology. You have to understand that human beings weren't really designed to invest. We have all these emotions that are appropriate responses if you're being chased by a tiger, but they're terrible responses if you've got a 30-year time horizon to think about investment or when you're trying to manage investment over 30 years.

Human, Investment, Psychology, Thinking, Years

99% of fund managers demonstrate no evidence of skill whatsoever.

Evidence, Fund, Investing, Skill, Skills, Whatsoever

An index fund is a fund that simply invests in all of the stocks in a market. So, for example, an index fund might invest in every single stock or almost every single stock in the U. S. market, it might invest in every single stock abroad, or it might invest in all of the bonds that are out there. And you can make a perfectly fine investing portfolio that mixes equal parts of all three of those.

Example, Index, Investing, Parts, Simply, Three

For the taxable investor, indexing means never having to say you're sorry.

Indexing, Investor, Love, Movie, Romantic, Say

Investment success accrues not so much to the brilliant as to the disciplined.

Brilliant, Investment, Investment Success, Success

Do the math. Expect catastrophes. Whatever happens, stay the course.

Catastrophe, Expect, Happens, Math, Whatever Happens

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