How a Second Grader Beats Wall Street: Golden Rules Any Investor Can Learn

"Kevin Roth, the author’s son, is eight years old. He’s probably got a better investment portfolio than you do. This book reveals his secrets. Our take: Explaining how a second grader can whip most adult investors is a fun way to demonstrate the benefits of a simple indexed portfolio."
—MoneySense magazine

"Pablo Picasso spent a lifetime learning to paint like a child. Investors might be wise to do the same. Allan Roth’s How a Second Grader Beats Wall Street reminds us that the most important investment principles are actually simple truths that we lose sight of as our lives and investment approaches grow more complicated. By returning to the basics, we can both simplify our finances and improve our investment results."
–Don Phillips, Managing Director, Morningstar, Inc.

"There has been no time in our financial history when implementing the simple investment plan in this book has been more important."
–Dan Solin, author of The Smartest Investment Book You'll Ever Read and The Smartest 401(k) Book You'll Ever Read

"Allan Roth shatters the Wall Street myth that investing is too complicated for ordinary investors. Using his son, Kevin, as an example, Allan shows us, in his easy-to-read writing style, how we can construct a simple personal portfolio that is almost certain to outperform the vast majority of investors. If you have been looking for an easy-to-understand book about how to invest successfully—this is it."
–Taylor Larimore, co-author of The Bogleheads' Guide to Investing

"Allan presents in a very clever way why a second grader can outperform most investors, professional and individual. He demonstrates both why smart investing is both simple and also why it is not easy for adults to execute because of behavioral mistakes to which they are prone."
–Larry Swedroe, author of Wise Investing Made Simple

"I have a very strong feeling that sometime in the not-too-distant future I will happily be working for Allan Roth's son! If you buy only one how-to book this year, this is the one! Allan Roth is a National Treasure."
–Mike Causey, senior correspondent, FederalNewsRadio.com

"Successful investing should be a matter of choice, not chance. Follow this book’s advice and your probabilities of success are 100% in your favor."
–Paul Merriman, author of Live It Up Without Outliving Your Money!, and publisher of FundAdvice.com

"Allan Roth gets an A+. It is no surprise that a second grader beats Wall Street, because everything we need to know about beating the pros is taught in the first grade. That is when we learn to add and subtract. And after subtracting the high fees and commissions that the pros charge, their results fall far short of a simple market return."
–Richard Ferri, CFA, investment advisor and author of The ETF Book

"Using just a bit of logic and a dash of arithmetic, Allan Roth lucidly explains why low-cost index funds should be the investment of choice for 2nd graders as well as their parents and grandparents."
–John Allen Paulos, mathematics professor at Temple University and author of Innumeracy and A Mathematician Plays the Stock Market

"Kevin, the second grader, is really smart and cool! He knows what it took me decades to learn. A smart strategy is to diversify broadly across US stocks, international stocks and high-grade US bonds using low-cost, tax-efficient index funds. He even taught me how individuals can increase their fixed-income returns without incurring higher risks. He will also teach you about asset location and the importance of saving in the most tax-advantaged savings vehicles, like a 401(k) and Roth IRA. By following Kevin's advice, we, too, can be smart investors. But we may never be as cool as Kevin!"
–William Reichenstein, Powers Chair in Investment Management at Baylor University