The title of the book "Little Turtle Investment Wisdom" is a bit of a failure.

I understand that the author’s starting point is to convey to everyone the concept of long-term investment.

But which investor is willing to be a little turtle?

Of course everyone hopes to be a rabbit and make a lot of money all at once.

I also often read the columns of the author Wu Zhijian on Zhihu and Xueqiu. This guy is a bit bookish. His writings are based on classics and have a solid theoretical foundation.

But he may not be very good at marketing, so he gave this book such a weak title.

However, apart from the silly title of this book, there is still a lot of interesting content in it.

The vast majority of investment books on the market are either crooked or shoddy and patchwork.

There are very few dry goods products that can really bring value to readers.

The book "Little Turtle" basically quotes relatively reliable empirical research data, so it is relatively convincing.

I will give you a little "spoiler" here.

The first three chapters of the book focus on the three most common mistakes investors make.

These three major mistakes are: insufficient understanding of one's own irrationality, insufficient understanding of the importance of investment costs, and insufficient understanding of the importance of long-term persistence.

In fact, many people should be aware of these mistakes in daily life, but if they are busy fighting in the stock market, it is easy to forget them.

This is why I said at first that Wu Zhijian is a bit "bookish": most investment books want to tell readers: You are great, you are great, as long as you read my book, you can also become

Buffett is second.

This is why many investment books sell well: they say good things that customers (readers) want to hear.

But Wu Zhijian may not have considered marketing issues at all when he wrote the book "Little Turtle".

He just honestly wrote out the "problems" of the majority of investors.

Who wants to hear themselves being scolded and criticized?

Therefore, the book "Little Turtle" is a bit "thankless" and tells many real problems of investors, but it may not be liked by everyone because of this.

So I think, if you have a spirit of self-criticism and want to analyze your investment shortcomings by looking in the mirror, then these three chapters will be more valuable to you.

In the second part of "Little Turtle", the author focuses on introducing some financial investment theories, such as market efficiency theory, smart beta theory, factor analysis theory, etc.

Readers who have taken finance courses in college should generally be exposed to theories such as the market efficiency hypothesis.

Smart beta and factor theory are relatively new, and are introduced in specialized courses in finance departments of foreign universities.

Readers who are not interested in theory can skip this part, because this part of the content may be a bit boring and pedantic for these readers.

The third and fourth parts of "Little Turtle" mainly introduce the investment risks of major asset classes and commonly used asset allocation methods.

I think asset allocation may have greater practical value for more people.

The value of the RMB against the U.S. dollar has been falling for several years. Therefore, for many Chinese, how to go abroad and allocate a piece of their assets to overseas allocation of the U.S. dollar is a very practical problem.

The second half of the book "Little Turtle" is dedicated to answering this question.

Judging from the allocation strategy advocated by Wu Zhijian, the author of "Little Turtle", he is a staunch academic, that is, he believes in efficient markets and advocates investment and asset allocation through passive index funds.

This configuration method is more practical for Chinese people.

First of all, the Chinese are not familiar with overseas markets. If they want to pursue high returns (alpha), they have inherent shortcomings compared to foreigners. They are definitely not as familiar with their own markets as foreigners.

Secondly, there are still many more opportunities in China than overseas. If you want to pursue high returns, it is enough to use your brains at home. There is no need to go overseas to mess around.

The main purpose of allocating US dollars overseas is to cope with the risk of the decline in the value of the RMB, and at the same time to separate the eggs and spread some risks. Therefore, buying low-cost, diversified and diversified index funds is more suitable for the Chinese.

In fact, after really studying "Little Turtle", I found that we can follow the ideas it proposed to do overseas asset allocation ourselves, that is, DIY.

This may be something Wu Zhijian, the author of the book, did not expect.

Interested readers can focus on studying the chapters on asset allocation in this book, and then follow the example to select some good ETFs for asset allocation.

Spending 50 yuan to buy an "Asset Allocation Guidebook" and then DIY asset allocation is not a bad deal.