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The Money Shelf

From the shelf · 102 money books

Does How to Make Money in Stocks hold up?

How to Make Money in Stocks (O’Neil) is one of the 102 money books on The Money Shelf. It comes from the shelf’s earlier bookshop lists and the books that make specific claims. The shelf links it to 2 of the 22 claims that the book tests against official records from the United States, the United Kingdom and Australia. Each verdict below comes from that test.

Claim 12 · The book makes this claim

Stock picking: you can pick winning stocks

Not established

The stock-level studies show that a few firms account for all the net wealth, so a small random portfolio is likely to miss them, and the SPIVA scorecards show most professional managers lagging their index.

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Claim 13 · The book makes this claim

Market timing: time the market and cut losses early

Not established

The Schwab arithmetic shows that perfect timing finished $15,522 ahead of investing immediately (9.1 per cent more) and that bad timing still beat cash, but the study assumes foresight.

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One book holds the whole shelf: 22 claims from 102 popular money books, every figure dated, every source named, and the arithmetic worked through for three countries.

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