Pfau exhaustively and expertly explores all investment possibilities, including fixed-income assets; stocks and diversified investment portfolios; income, variable, and fixed income annuities; and life insurance. He discusses fitting income annuities into a financial plan and planning to leave a financial legacy for loved ones. He also warns of the dangers of loss aversion (fearing a loss more than wanting to make gains), overconfidence, and hindsight bias.
Readers with finance-phobia may be intimidated by Pfau’s dry, academic prose (“Low-volatility assets are generally viewed as less risky, but this may not be the case when the objective is to sustain spending over a long time horizon”) and deep dives into complicated investment options. However, his advice is both comprehensive and logical, and the liberal use of well-designed charts and real-world situations aid in comprehension. This sensible nuts-and-bolts retirement planning guide will satisfy readers interested in exploring their long-term financial options.
Takeaway: Readers looking for peace of mind during their golden years will find Pfau’s retirement planning guidance valuable.
Great for fans of Dave Ramsey, Jane Bryant Quinn.
Design and typography: A
Marketing copy: A