Charles Schwab's Guide To Financial Independence

Ranked #3,848 in Books, Poetry & Writing, #146,668 overall

My Review: Step by Step Financial Planning

Charles R. Schwab's Guide to Financial Independence walks a new investor through the basic steps of crafting a financial plan. I call it "Adviser in a Box". Schwab uses worksheets and charts to illustrate the planning process. By going through the steps outlined in the book, the new investor becomes familiar with the financial planning process. The book not only gives tips, it tells you the logic behind those tips.

The Guide to Financial Independence is written in a more traditional style. It does away with amusing anecdotes stories and quirky characters [see The Wealthy Barber or The Automatic Millionaire]. Instead, the tone is of a professional teaching people how he does his work. You could almost imagine sitting in a seminar with Charles Schwab as speaker. Although the method is more academic, the style of writing makes it relatively easy to understand. Schwab explains technical terms in layman's language. Often, the book dispenses with the industry jargon.

The Guide to Financial Independence focuses on building assets through stock investing. Other financial vehicles get less press. There is little written on insurance or wills for example. This is understandable given Schwab's background. However, the book is a solid primer on stock investments. There are cookie cutter investment strategies and portfolios that a person can apply immediately. The investor simply matches his investment preference to the guidelines and the book will show him a model portfolio.

All the rules of thumb, worksheets and guidelines are definitely worth the price. I keep this book handy wherever I work on investments.

Guide To Financial Independence

essential financial planning education

Charles Schwab's Guide to Financial Independence: Simple Solutions for Busy People

Amazon Price: $1.33 (as of 06/01/2012)Buy Now

“Financial adviser
in a box”

Schwab says Stay with Stocks

the reason behind the strategy

Some reviewers wonder why Charles Schwab seems fixated on stocks as an investment vehicle. I think the answer is in Chapter One and it is a simple answer. Charles Schwab likes stocks. It is something he finds fascinating and understandable. He can live with the drawbacks of stock investing and prefers them to the woes of real estate, entrepreneurship, commodities or bonds.

In Chapter One he asks the reader to be confident in stock investing and he gives his own logic as to why. His reason is sound but it may not be as compelling for you as it is for him. An investor should also gauge his or her own preferences. Knowing one's self may be the most important prerequisite for successful investing. Keep this in mind if you feel that Schwab's recommendations are not as comfortable for you.

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Other Charles Schwab Links

The Charles and Helen Schwab Foundation
The Charles and Helen Schwab Foundation focuses on Education, Human Services and Health. They support other organizations with similar concerns.

It was established by Charles and Helen Schwab in 1987. It is a private foundation and is separate from The Charles Schwab Corporation and from the Charles Schwab Corporate Foundation.
Schwab Bank
Schwab Bank offers banking services. They have an online presence and some very accommodating account products.

Charles Schwab Bank is a federally chartered thrift institution and an affiliate of Charles Schwab Corporation, a financial holding company. All bank products and services are offered through Schwab Bank.
schwab moneywise
The company answer to the gap in financial education. This online education site gives out information and provides tools.

as the website says:
"We developed this website in partnership with Charles Schwab Foundation to give anyone the knowledge and confidence they need to make smarter financial decisions. Whether you use it for yourself, for your kids, or in a classroom, we hope it helps put you on the right path toward financial fitness."
Schwab Global
The global website serves international investors. Get information and services that suit your circumstances.
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I made my first investment in high school thanks to dad's mentoring. That lead to economics and management degrees with stints in banking and investme... more »

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