Chapter 7Conclusion

“It is not easy to convey, unless one has experienced it, the dramatic feeling of sudden enlightenment that floods the mind when the right idea finally clicks into place. One immediately sees how many previously puzzling facts are neatly explained by the new hypothesis. One could kick oneself for not having the idea earlier, it now seems so obvious. Yet before, everything was in a fog.”

—Francis Crick

I know we can embrace a sensible, balanced approach to debt, an approach that mimics the balance found in nature, art, architecture, music, even our own bodies. This balanced approach will increase your financial security and flexibility. It will increase the likelihood of a secure retirement, and reduce your stress along the way.

While it is impossible for me to know for sure that a balanced approach will be better, I know it increases the chances you will be on track. When compared to the no-debt path, I believe there is an approximate 95-percent chance the balanced path I have outlined will lead to greater wealth accumulation. I believe there is a 100-percent chance it will leave you better prepared for emergencies and the curve balls life sends all of us.

Taking a Stand Against Conventional Wisdom

Make no mistake, how you invest matters. But advice on investing is often based on conventional wisdom and using the past to try to predict the future, something that has virtually no chance of happening. Wall Street portfolios exhibit massive home bias. Most ...

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