Why the Best-Laid Investment Plans Usually Go Wrong: And How You Can Find Safety and Profit in an Uncertain World : Book Review

In his book "Why the Best Laid Investment Plans Usually Go Wrong," Harry Browne dives into the common mistakes made by investors and offers valuable insights on how to avoid them. Browne argues that meticulously planned investment strategies often fail and suggests a more effective approach.

Browne starts by challenging traditional investment wisdom, exposing its flaws and questioning widely-accepted beliefs about diversification and market timing. He asserts that relying on these techniques can lead to disappointing results and proposes a more unconventional and personalized approach to investing. Understanding one's risk tolerance and aligning investment decisions accordingly are vital, according to Browne.

Throughout the book, Browne emphasizes the importance of focusing on individual goals and disregarding market predictions and trends. He advises creating a well-diversified portfolio that can withstand various economic conditions. Additionally, he highlights the significance of emotional intelligence and the ability to control one's emotions to make rational investment decisions.

A key takeaway from Browne's book is the concept of the "permanent portfolio," which he views as an ideal investment strategy. This portfolio is designed to provide stability and growth in all economic scenarios, including inflation, deflation, and prosperity. Browne argues that by diversifying across different asset classes, investors can safeguard their wealth and enhance their financial outcomes.

Overall, "Why the Best Laid Investment Plans Usually Go Wrong" is an informative and thought-provoking book that challenges conventional investment wisdom. Harry Browne offers practical advice and strategies for investors to navigate the complexities of the market. Whether readers are experienced or novice investors, this book serves as a valuable resource.

What are readers saying?

Harry Browne's book, "Why the Best Laid Investment Plans Usually Go Wrong," has received mixed reviews from readers. While some reviewers found the book informative and insightful, others felt that it was outdated and lacked practical advice.

One reviewer appreciated Browne's ability to explain complex investment concepts in simple terms. They thought that his emphasis on a long-term approach to investing and his critique of common investment strategies were valuable. They found the book to be a helpful resource for understanding investing better.

However, not all readers shared this viewpoint. Some reviewers felt that the book focused too much on Browne's own investment philosophy, the "Permanent Portfolio." They criticized it for lacking practical advice on applying his principles to real-life situations and for being repetitive, reiterating the same points without offering new insights.

Another point of contention among reviewers was the book's publication date. Originally published in 1987 and not updated since, some readers felt that the content was outdated and no longer relevant in today's investment landscape.

On the positive side, several readers appreciated Browne's emphasis on risk management and diversification. They found his insights on protecting against economic uncertainties to be particularly valuable. However, some reviewers found Browne's writing to be dry and lacking engagement, making it challenging to stay interested in the book.

InvestmentFails FinancialWisdom PlanGoneWrong