Alexander Green - The Gone Fishin' Portfolio

1 COVER

2 TITLE PAGE THE GONE FISHIN’ PORTFOLIO Get Wise, Get Wealthy . . . and Get On with Your Life Second Edition ALEXANDER GREEN

3 COPYRIGHT

4 DEDICATION

5 FOREWORD

6 PREFACE

7 ACKNOWLEDGMENTS

8 PART I: Get Wise Introduction CHAPTER 1: The Unvarnished Truth About Your Money LAY CLAIM TO WHAT'S YOURS LEAVE NOTHING TO CHANCE CHAPTER 2: The First Step on the Road to Financial Freedom SOMETIMES LESS IS MORE A MATTER OF HOW WE VALUE THINGS CHAPTER 3: Change Your Mindset, Change Your Life A CAN-DO ATTITUDE THE RIGHT MINDSET CHAPTER 4: Why Some Investors Succeed … But Most Don't AN EMBARRASSMENT OF RICHES THE CASE FOR CAPITALISM LOOKING ON THE BRIGHT SIDE DON'T MIND THE MEDIA CHAPTER 5: Why Manage Your Own Money? LET THE BUYER BEWARE A TRIO WORTH LISTENING TO CHAPTER 6: Know What You Don't Know NO, YOU DON'T HUMILITY IS THE ONLY TRUE WISDOM CERTAINTY—A FOOL'S PARADISE

9 PART II: Get Wealthy CHAPTER 7: Common Stocks THE BEST INVESTMENT … EVER DON'T GET CAUGHT ON THE SIDELINES A REASON FOR OPTIMISM USING THE PAST TO SAFEGUARD YOUR FUTURE CHAPTER 8: Don't Buy What Wall Street Is Selling THE MUTUAL FUND ADVANTAGE THE WISER BET THE LOW-FEE WAY TO BEAT THE STREET LOWER COSTS, HIGHER RETURNS A NEEDLESS DRAG ON PERFORMANCE CHAPTER 9: Your Single Most Important Investment Decision SEVEN CRUCIAL FACTORS THE IMPORTANCE OF THESE FACTORS IN THE GONE FISHIN' PORTFOLIO HIGHER RETURNS WITH LESS VOLATILITY THE GONE FISHIN' ASSET ALLOCATION MODEL A NOBEL PRIZE–WINNING STRATEGY THE BEAR MARKET PROTECTION KIT CHAPTER 10: The Gone Fishin' Portfolio Unveiled HOW TO PUT YOUR MONEY TO WORK YOU MAY QUALIFY FOR EVEN LOWER COSTS HOW TO KEEP YOUR PORTFOLIO ON TRACK PUTTING THE GONE FISHIN' PORTFOLIO TO THE TEST A SIMPLE STRATEGY IN A COMPLEX WORLD WHAT TO TELL THE NAYSAYERS THERE IS ONLY ONE OBJECTIVE UNDERSTAND THE GAME TO WIN IT CHAPTER 11: The ETF Alternative FUNDS THAT TRADE LIKE STOCKS WEIGHING THE ADVANTAGES OF ETFS THE GONE FISHIN' PORTFOLIO 2.0 CHAPTER 12: Why the Gone Fishin' Portfolio Is Your Best Investment Plan THE PLAN THAT OUTPERFORMS PROFESSIONAL MONEY MANAGERS HERE TODAY, GONE TOMORROW STICKING TO THE TRIED AND TRUE CHAPTER 13: How to Legally Stiff-Arm the IRS PRE-TAX VERSUS POST-TAX RETURNS THE TAXMAN COMETH A PLACE FOR EVERYTHING … AND EVERYTHING IN ITS PLACE

10 PART III: Get On with Your Life CHAPTER 14: The Last Two Essentials TAKING AIM FINDING THE BULL'S-EYE HOW TO CALCULATE YOUR NUMBER CHAPTER 15: Your Most Precious Resource THE KEY TO LONG-TERM INVESTMENT SUCCESS A PLAN FOR ALL SEASONS TIME IS ON YOUR SIDE

11 AFTERWORD

12 Appendix A: Vanguard FundsVANGUARD TOTAL STOCK MARKET INDEX FUND VANGUARD SMALL-CAP INDEX FUND VANGUARD EUROPEAN STOCK INDEX FUND VANGUARD PACIFIC STOCK INDEX FUND VANGUARD EMERGING MARKETS STOCK INDEX FUND VANGUARD SHORT-TERM INVESTMENT-GRADE FUND VANGUARD HIGH-YIELD CORPORATE FUND VANGUARD INFLATION-PROTECTED SECURITIES FUND VANGUARD REAL ESTATE INDEX FUND VANECK VECTORS GOLD MINERS ETF NOTE

13 Appendix B: ETFs VANGUARD TOTAL STOCK MARKET ETF VANGUARD SMALL-CAP ETF VANGUARD FTSE EUROPE ETF VANGUARD FTSE PACIFIC ETF VANGUARD FTSE EMERGING MARKETS ETF VANGUARD SHORT-TERM BOND ETF ISHARES IBOXX $ HIGH YIELD CORPORATE BOND ETF PIMCO© 15+ YEAR U.S. TIPS INDEX ETF* VANGUARD REAL ESTATE ETF VANECK VECTORS GOLD MINERS ETF

14 ABOUT THE AUTHOR

15 INDEX

16 END USER LICENSE AGREEMENT

1 Chapter 2 TABLE 2.1 Effects of Saving $500 a Month at a 10% Annual Return

2 Chapter 7TABLE 7.1 Investing in Stocks During Troubled Times

3 Chapter 8TABLE 8.1 Vanguard Fees Versus Industry Average Fees

4 Chapter 9TABLE 9.1 Amount Needed to Reach $1 Million by Age 65 at 8% Annual Return

5 Chapter 10TABLE 10.1 The Gone Fishin' PortfolioTABLE 10.2 Annual Return of the Gone Fishin' Portfolio Versus S&P 500

6 Chapter 11TABLE 11.1 The Gone Fishin' Portfolio 2.0: Exchange-Traded FundsTABLE 11.2 The Gone Fishin' Portfolio: ETF Expenses

7 Chapter 13TABLE 13.1 Effects of Tax Management on a $100,000 Portfolio

8 Appendix A TABLE A.1 After-Tax Returns as of 9/30/2020 TABLE A.2 Historical Volatility Measures as of 9/30/2020 TABLE A.3 Minimums TABLE A.4 ExpensesTABLE A.5 After-Tax Returns as of 09/30/2020 TABLE A.6 Historical Volatility Measures as of 9/30/2020 TABLE A.7 MinimumsTABLE A.8 ExpensesTABLE A.9 After-Tax Returns as of 9/30/2020 TABLE A.10 Historical Volatility Measures as of 9/30/2020 TABLE A.11 MinimumsTABLE A.12 ExpensesTABLE A.13 After-Tax Returns as of 9/30/2020 TABLE A.14 Historical Volatility Measures as of 9/30/2020 TABLE A.15 MinimumsTABLE A.16 ExpensesTABLE A.17 After-Tax Returns as of 9/30/2020 (Fee-Adjusted) TABLE A.18 Historical Volatility Measures as of 9/30/2020 TABLE A.19 MinimumsTABLE A.20 ExpensesTABLE A.21 After-Tax Returns as of 9/30/2020 TABLE A.22 Historical Volatility Measures as of 9/30/2020 TABLE A.23 MinimumsTABLE A.24 ExpensesTABLE A.25 After-Tax Returns as of 9/30/2020 TABLE A.26 Historical Volatility Measures as of 9/30/2020 TABLE A.27 MinimumsTABLE A.28 ExpensesTABLE A.29 After-Tax Returns as of 9/30/2020 TABLE A.30 Historical Volatility Measures as of 9/30/2020 TABLE A.31 MinimumsTABLE A.32 ExpensesTABLE A.33 After-Tax Returns as of 9/30/2020 TABLE A.34 Historical Volatility Measures as of 9/30/2020 TABLE A.35 MinimumsTABLE A.36 ExpensesTABLE A.37 Performance Returns as of 9/30/2020 TABLE A.38 Historical Volatility Measures as of 9/30/2020 TABLE A.39 Expenses

9 Appendix BTABLE B.1 Performance Returns Before TaxesTABLE B.2 Performance Returns Before TaxesTABLE B.3 Performance Returns Before TaxesTABLE B.4 Performance Returns Before TaxesTABLE B.5 Performance Returns Before TaxesTABLE B.6 Performance Returns Before TaxesTABLE B.7 Performance Returns Before TaxesTABLE B.8 Performance Returns Before TaxesTABLE B.9 Performance Returns Before TaxesTABLE B.10 Performance Returns Before Taxes

1 Chapter 7FIGURE 7.1 Total Nominal Return Indices (1802–2019)FIGURE 7.2 Hypothetical Growth of $10,000 Invested in the S&P 500 from Janua...

2 Chapter 9FIGURE 9.1 What You Should Focus OnFIGURE 9.2 The Gone Fishin' Asset Allocation

3 Chapter 10FIGURE 10.1 Gone Fishin' Portfolio Versus S&P 500 From 2000 to 2019FIGURE 10.2 Total Gains of Emerging Markets Versus United States

4 Chapter 11FIGURE 9.2 The Gone Fishin' Asset Allocation (repeated)

5 Chapter 15FIGURE 15.1 Average Total Returns After Major Market Peaks

6 Appendix AFIGURE A.1 Hypothetical Growth of $10,000 Invested in Vanguard Total Stock M...FIGURE A.2 Hypothetical Fees on $10,000 Invested in Vanguard Total Stock Mar...FIGURE A.3 Hypothetical Growth of $10,000 Invested in Vanguard Small-Cap Ind... FIGURE A.4 Hypothetical Fees on $10,000 Invested in Vanguard Small-Cap Index...FIGURE A.5 Hypothetical Growth of $10,000 Invested in Vanguard European Stoc... FIGURE A.6 Hypothetical Fees on $10,000 Invested in Vanguard European Stock ...FIGURE A.7 Hypothetical Growth of $10,000 Invested in Vanguard Pacific Stock... FIGURE A.8 Hypothetical Fees on $10,000 Invested in Vanguard Pacific Stock I...FIGURE A.9 Hypothetical Growth of $10,000 Invested in Vanguard Emerging Mark... FIGURE A.10 Hypothetical Fees on $10,000 Invested in Vanguard Total Stock Ma...FIGURE A.11 Hypothetical Growth of $10,000 Invested in Vanguard Short-Term I... FIGURE A.12 Hypothetical Fees on $10,000 Invested in Vanguard Short-Term Inv...FIGURE A.13 Hypothetical Growth of $10,000 Invested in Vanguard High-Yield C... FIGURE A.14 Hypothetical Fees on $10,000 Invested in Vanguard High-Yield Cor...FIGURE A.15 Hypothetical Growth of $10,000 Invested in Vanguard Inflation-Pr... FIGURE A.16 Hypothetical Fees on $10,000 Invested in Vanguard Inflation-Prot...FIGURE A.17 Hypothetical Growth of $10,000 Invested in Vanguard Real Estate ... FIGURE A.18 Hypothetical Fees on $10,000 Invested in Vanguard Real Estate In...FIGURE A.19 Hypothetical Growth of $10,000 Invested in VanEck Vectors Gold M...