Rick Van Ness > Quotes

“Personal finance is a means to an end—living a rich and fulfilling life. It is not hard. It is not complicated. I write this to share simple truths I've learned from some very wise people.”
― Rick Van Ness, Common Sense Investing: Ten Simple Rules to Finance Your Dreams or Create a Roadmap to Achieve Financial Independence

“Don't try to time the market. Buy what you need now.”
― Rick Van Ness, Why Bother With Bonds: A Guide To Build All-Weather Portfolio Including CDs, Bonds, and Bond Funds--Even During Low Interest Rates

“Bonds are the underwear in your portfolio—unexciting and not much thought about, but select the wrong pair and you’ll be surprised at just how uncomfortable you are.”
― Rick Van Ness, Why Bother With Bonds: A Guide To Build All-Weather Portfolio Including CDs, Bonds, and Bond Funds--Even During Low Interest Rates

“While investors have been well rewarded for taking the risks of investing in stocks in general, and specifically small stocks and value stocks, as well as for taking term risk [in bonds], they have received almost no reward for accepting corporate credit risks [in bonds].[40]”
― Rick Van Ness, Why Bother With Bonds: A Guide To Build All-Weather Portfolio Including CDs, Bonds, and Bond Funds--Even During Low Interest Rates

“The key principal is that it is only possible to have fixed interest payments if the current market price fluctuates (e.g., bond funds), and that it is only possible to have fixed share price if the current interest rate moves with the market (e.g., money market funds).”
― Rick Van Ness, Why Bother With Bonds: A Guide To Build All-Weather Portfolio Including CDs, Bonds, and Bond Funds--Even During Low Interest Rates

“more is always good, it actually has a far lower impact on years of financial freedom than spending less. As an example, let’s say that a 50-year-old can make $10,000 a year more and will retire in 15 years, which translates to $150,000. But if a third goes to taxes, he is left with only an additional $100,000. On the other hand, if he spends $10,000 a year less and has a 33-year life expectancy, that translates to $330,000 in savings.”
― Rick Van Ness, Why Bother With Bonds: A Guide To Build All-Weather Portfolio Including CDs, Bonds, and Bond Funds--Even During Low Interest Rates

“Virtually all your risk is in the companies that issue the stocks and bonds you hold, not the companies holding the assets for you.”
― Rick Van Ness, Why Bother With Bonds: A Guide To Build All-Weather Portfolio Including CDs, Bonds, and Bond Funds--Even During Low Interest Rates

“For the case of a CD, the opportunity cost includes the “early withdrawal penalty” for redeeming and reinvesting the CD at the new higher rate.”
― Rick Van Ness, Why Bother With Bonds: A Guide To Build All-Weather Portfolio Including CDs, Bonds, and Bond Funds--Even During Low Interest Rates

“Instead use Yield-To-Maturity to compare individual bonds, use 30-day SEC Yield to compare bond funds, or use total return to compare anything with anything.”
― Rick Van Ness, Why Bother With Bonds: A Guide To Build All-Weather Portfolio Including CDs, Bonds, and Bond Funds--Even During Low Interest Rates