Eight Steps to Seven Figures: The Investment Strategies of Everyday Millionaires and How You Can Becomewealthy Too

by Charles Carlson

Book Overview

In the tradition of the megabestsellerThe Millionaire Next Door,Eight Steps to Seven Figuresbrings together in-depth interviews with over two hundred everyday people whose investments have made them... This description may be from another edition of this product.

• Format: Hardcover
• Language: English
• ISBN: 0385497318
• ISBN13: 9780385497312
• Release Date: March 2000
• Publisher: Broadway Business
• Length: 336 Pages
• Weight: 1.40 lbs.
• Dimensions: 1.2" x 6.5" x 9.5"

Customer Reviews

Good Examples of Buy and Hold as an Investment Strategy

Before buying and reading this book, be sure you understand what it is. This is a ministudy of 170 investors whose stock portfolios are now worth over one million dollars. The work focuses on their investment-related habits. It is a sort of "investment habits of the millionaire next door." Such a study fails to answer many questions that you are may interested in. These questions include:(1) What are the best ways to become financially independent today?(2) What investment methods have allowed people to become financially independent recently in the least amount of time?(3) What are the frequency and degree of failures associated with those ways and methods in (1) and (2)?In other words, the typical questions of identifying best practices are not yet reported in any investment book, including this one.This book, however, is a nice improvement on The Millionaire Next Door. Here are the key lessons that Carlson drew from his sample:(1) Start investing now if you haven't already begun.(2) Establish a goal that means something to you emotionally.(3) Buy only stocks and stock mutual funds.(4) Swing for singles (this means just buying industry leaders in "must have" categories).(5) Invest every month (you get better compounding effects and price averaging cost reductions that way).(6) Buy and hold . . . and hold etc.(7) Avoid and reduce taxes.(8) Limit shocks to your finances by leading a steady personal and business life. (In other words, divorce and being unemployed reduce your portfolio.)If you know anything about investing, these will be common sense to you. If this is your first investing book, these are valuable perspectives. This is one style of investing that will and has worked well for a lot of people. You will also enjoy reading detailed answers about what many of these people have been doing. One person is outlined in each chapter, and there is a whole chapter of insight quotes at the end. A key thing to notice, however, is that almost none of these investors followed all 8 of these principles. So they are more like guidelines than necessities. Since no analysis was made of the specific investment track records of these people, we don't know which principles are more important. Presumably, number one is a necessity.What is outstanding about this book are the contents of the chapters on these 8 points. For example, the chapter on starting your investing now takes the most common excuses that people have for delaying and provides counterarguments and valuable help. The chapter on setting goals has excellent material on goal-setting. The chapter on buying stocks cites Professor Siegel's excellent research on this point since 1802. The chapter on doing it better also provides specific investment ideas to outperform in following these principles. I also liked the chapter on the 10 mistakes that these millionaires warned about most often. Mr. Carlson is an investment profession

Contains Excellent Financial Information

If you are interested in retiring wealthy, this is a must read book for you. The basic strategies in this book are the true fundamentals to living a very wealthy and prosperous life for your future. It also contains information about how everyday Millionaires in the book created their 7 figure accounts. This book gives detailed information about taking advantage of a 401(k) program as a tool to create that 7 figure retirement account. One of the parts of the book I particularly liked is how he really explains that "stuff begets stuff"...meaning that a big house needs lots of stuff. New clothes need other new clothes to match. That expensive hobby requires lots of expensive gadgets..etc. Stuff begets stuff. It is a great chapter on watching your spending habits and knowing that every dime you spend on "stuff" you cannot get back to invest. This is not the only great chapter. The whole book is chock full of great "no Brainer" proven strategies to create independant wealthiness. Time is a big factor in most of the strategies. It suggests Buying and holding quality stocks for a long time to make 1000% and 5000% instead of trading a stock for a quick 100% profit. In holding these quality stocks for a long time (5 or more years), you will have saved giving the Federal Goverment a lot of your profit. The book also outlines a lot of ways to avoid taking advantage of the goverments rules (long term capital gains tax, Roth IRA's)to create wealth. The entire book is profiles everyday millionaires, and their strategies of what tools they used to create their wealth, how their strategies worked, some of their quotations, and tips for investors. This books provides a good foundation for every investor. The strategies are invaluable to everyone interested in retiring like a king.

One of the best books on investing.

I believe this is one of the best books ever writtten about investing. The 8 steps are an excellent guide to a sound investment program. Many people feel you must have a lot of money to start investing. You don't. Follow these steps and let the power of time and compounding go to work for you. One of my favorite examples from his book is of a lady who never made more than $15,000 a year yet left $18 million to a hospital.This book will not only be valuable to beginning investors but will also be useful to long-time investors (such as myself) in focusing on why we invest. A reporter interviewing Warren Buffett was amazed at how there were no computers in his office. "You run a multibillion dollar company yet you have no computers or quote machines to help you." Mr. Buffett replied "It's not that complicated."The theme of this book echoes that sentiment. One of the most important messages of this book is think LONG-TERM. Ignore the everyday noise coming from Wall Street and Washington. The examples and stories from the book illustrate that the 8 steps do work. This book should be required reading by everyone who works on Wall Street.

Chuck Carlson -- Excellent Financial Writer

Just finished Chuck Carlson's latest book, "Eight Steps To Seven Figures". Real down-to-earth, common-sense investing strategies, just like Carlson's other books ("The Individual Investor Revolution", "The 60-Second Investor" and "Buying Stocks Without A Broker") and his DRIP Investor newsletter. This guy is the guru for long-term investors. I recently read "The Millionaire Mind" by Thomas J. Stanley. Not nearly as good as Carlson's "Eight Steps....". Carlson gives the reader a lot of practical information on how people make money by investing long-term in stocks. Very interesting and useful stuff.

An outstanding guide for everyone

I have been searching for an investment book, and finally decided to purchase this one. It is definitely well written, and easy to read, even for a 27-year-old beginning investor like myself. The author illustrated his strategies with real-life stories and historic data. This is a book for everyone who understands the joy of delayed gratification, and wants to have financial freedom. Some of its strategies coincide with my own: start investing NOW, establish a goal, buy only stocks and stock mutual funds, invest every month, buy and hold...and hold....and hold..., and take what Uncle Sam gives you. The book also warns you about the common mistakes investors make: acting on a tip/news, trying to time/beat to markets, trading a lot instead of investing, etc. It is very insightful and informative. I consider buying this book one of my best investments.