Sunday, October 2, 2016

On "Pound Foolish" by Helaine Olen



The writer of the fine Trekonomics, Manu Saadia, pointed me to Olen’s work in a conversation (you can pick up that name, since I dropped it and am done using it). What this book is is a complete and thorough debunking of your favorite personal finance guru. Most are charlatans, it seems that the real question is to what degree are they charlatans.

What I take away is that like some presidential candidates, what is being sold is not success per se, but the idea of success. Wrap yourself in the rich dad poor dad millionaire next door Jim Cramer etc mindset and you too can be rich. Having long been skeptical of people searching for gurus, Olen’s book is a breath of fresh air.  What is missing is a bunking where the debunking went.

Aside from don’t follow these fools, I was at least looking for something that might guide what I should look for - the best advice Olen claims to have found is to short the stocks that Cramer pumps, as well as buying TIPS. Even my well-worn advice of buying index funds comes under some scrutiny here, and I want a guru. Wait, I think I get it now.