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Headings
Chapter 7 Investing Isn't Only For Rich People Chapter 7 is about setting up a portfolio and and automatic investing, so you can make money by investing in low-cost funds and getting great returns with minimal management. You would not need to actively watch to see what stock is up at the moment. Usually elderly and rich people like bonds because it is low-risk with a set return. It is important to allocate across the different asset classes-like stocks and bonds. There are plenty of stocks and bonds, but Sethi talks about the advantages and disadvantages of Mutual Funds, Index Funds, and Lifecycle Funds. Mutual Funds are usually convenient, but often is expensive and unreliable. Mutual Funds are popular because they allow you to pick one fund, which contains different stocks and you don't have to worry about monitoring prospectuses, or keeping up with industry news. Index Funds are easy and efficient, but it matches the stock market which means that if you own equities and the market drops you will lose money. Lastly, Lifecycle Funds are simple and easy funds because it automatically diversifies your investments based on your age. Two companies with popular Lifecycle Funds are Vanguard and T. Rowe; the minimum investment to get started is 3,000 dollars, and you can set up monthly recurring contributions of at least 100 dollars each.

Chapter 8 Easy Maintenance Chapter 8 is about reviewing all the steps you made to get to this point and fixing all the little flaws that you made. The more money you invest in your savings accounts the better the return. By adding 100 dollars or even 200 dollars every month the numbers change dramatically. There are only three reasons to sell your investments: You need the money for an emergency, you made a terrible investment and it's consistently under-performing the market, or you've achieved your specific goal for investing. The last part of being rich is giving back to the community. If it's by donating money to the local schools or library, or even volunteering. Physically being there volunteering is actually better than donating money because you can see the benefits of your efforts first hand.

Swensen Model of Asset Allocation
The Swensen portfolio consists of six core asset class allocations: US equity: 30% Foreign developed equity: 15% Emerging market equity: 5% US REITS: 20% US Treasury bonds: 15% US TIPS: 15%