Higher Returns from Safe Investments: Using Bonds, Stocks, and Options to Generate Lifetime Income

by Marvin Appel

Book Overview

"Marvin Appel is a discerning and highly regarded money manager. In this concise but compelling text, he shows how individual investors can use a range of fixed-income strategies to gain superior... This description may be from another edition of this product.

• Format: Hardcover
• Language: English
• ISBN: 0137003358
• ISBN13: 9780137003358
• Release Date: January 2010
• Publisher: FT Press
• Length: 205 Pages
• Weight: 0.80 lbs.
• Dimensions: 0.9" x 5.6" x 8.3"

Customer Reviews

Income investing in a low interest rate world

Dr. Marvin Appel (Son of market legend Gerald Appel) has done an excellent job with this book showing readers where to find yield in this low yielding investment climate we are in in 2010. It is much tougher to find these investments with interest rates at record lows. Banks were offering 5% on certificates of deposit just three years ago with zero risk now investment grade bonds are around 4% and many blue chip stocks have lowered their dividendes. Dr. Appel shows his readers how to locate high yielding investments and structure a portfolio to control and minimize risk. I did the same thing myself in early July 2010 using ETFs and CEFs (Closed in mutual funds) to construct a high yield portfolio while not exposing my money to excessive risk in any one area. My portfolio returned 5% in capital gains, interest, and dividends from early July to early August before its first draw down. I was shocked to see Dr. Appel's book recommends a very similar portfolio. Dr. Appels suggested portfolio from the book: 10% High dividend stocks (ETF:SDY) 5% High dividend emerging market stocks (ETF:DEM) 10% covered call writing (Or ETF:PBP) 10% preferred stocks (or ETF PFF) 25% high yield bond funds (using a stop loss to control risk) 40% investment grade bonds My self built portfolio before reading the book was: 10% High dividend stocks (ETF:PEY) 10% emerging market bonds (ETF:EMB) 20% Preferred stocks (ETFs:PFF & PGF) 20% High Yield Bonds (ETFs:JNK & HYG) 20% Municipal Bonds (CEFs: PMX & PMF) 10% High Yield Investment (CEF:EAD) 10% Investment grade bonds (ETF:LQD) I did not write any covered call options but am interested in the concept for income after reading this book. I have been investing and stock trading for ten years and this book just reconfirmed for me what I have learned about portfolio construction. At heart I am a trend trader making my money by following trends but with the market and economy in such a slump and my CDs making almost no interest I have had to look to income investing for a way to keep making money. I highly recommend this book for anyone interested in learning how to create a portfolio that produces a steady income with reduced risks. It is an easy read, informative, and excellent.

Money, Money, Money

The market offers innumerable methods of (possibly) making money. For just as many years as the market has existed, people have been using, promoting, and selling different strategies for making money in a complex network of buyers and sellers and gamblers and middle men. This variety can be daunting to those who wish to start investing, and even to those who have traded for years. Marvin Appel would certainly fit into the latter category. This book clarifies the theories behind certain investment strategies. This is not the kind of snake oil offered far too often by people in the business of selling information about the market. //Higher Returns From Safe Investments// is exactly what it sounds like: a guidebook to methods of making more money with less risk. Specifically, it outlines the principles of bonds, discusses the vast variety of bonds and how each type works, how to use these bonds in investing strategies, and how to understand and utilize different types of stocks (Preferred Stocks), options, and mutual funds to generate income that is higher than the typical amount earned from investments that carry similarly low risk. Reviewed by Jordan Dacayanan

A choice and top pick for the prudent investor

You don't have to treat the stock market like a casino to win big. "Higher Returns from Safe Investments: Using Bonds, Stocks, and Options to Generate Lifetime Income" is a guide to making the most out of safer stocks, and how to make the most out of a safe stock for a lifetime. Safe investments typically pay the least, but the high risk options fluctuate too much to be profitable, and Marvin Appel hopes readers will take his wisdom to heart to make their money. "Higher Returns from Safe Investments" is a choice and top pick for the prudent investor.

LEARNING HOW TO INVEST

I'm a novice in the investment arena. I've been trying to get a handle on the composition of a diversified portfolio and learn about some of the different products available with let's hope, less risk. I've studied finance while in school but nothing can really prepare you for how complicated the actual market is. I picked up this book and found it surprisingly readable. It doesn't read like a textbook as what I've come to expect after years of school. I think that it takes a great understanding of the subject matter in order to simplify it for others. Dr. Appel shares his knowledge and reasons for some of his strategies in income generating investments in a MOST READABLE manner. NOT JUST ABOUT BONDS The book is filled with examples and introductions to all areas of income generating investments, from regular bonds, bond ETF's to mutual funds. It touches upon preferred stocks as well. I think this is a fantastic handbook for the conservative investor and for those that are learning how to diversify their portfolio. Dr. Appel shares some of his investment picks with the reader and explains with clarity the reasons behind his choices. BE WARY OF HIDDEN FEES AND TAXES I found Dr. Appel's explanation of the different types of fund shares and hidden sales fees, and commission fees to be quite interesting. He also talks about the effect that Taxes have on certain investments. I always thought that TIPS is a safer way to ride inflation, but I'll think twice now about placing it in a taxable account. It was an easy read and it really gave some good insights and strategies on investing with income in mind. I'm looking forward to picking up his book on ETF's as well. I found his writing style to be quite understandable. Definitely pick this up to get a good handle on "Safer" Investments.