Watch CBSN Live

Millionaire Teacher: The nine rules of wealth

Andrew Hallam is a teacher at the Singapore American School. His Millionaire Teacher is just the right book for novice investors. He not only provides the winning strategy in terms of your personal financial life, but he also provides the winning investment strategy. The book contains Hallam's nine rules to become a millionaire. And he has them all right. If you know people who are financial train wrecks waiting to happen, recommend this book to them. It may be the best investment they make.

Rule 1: Grow Rich by Spending Like a Millionaire -- you'd be surprised how real millionaires spend their money, as opposed to pretend millionaires

Rule 2: Use the Greatest Investment Ally You Have -- time, and the power of compound interest -- so begin investing at as early an age as possible

Rule 3: Small Percentages Pack Big Punches -- a simple indexing strategy is the winner's game

Rule 4: Conquer the Enemy in the Mirror -- know your financial history so you can avoid getting caught up in the noise and emotions of the market, and believing this time it's different

Rule 5: Build Mountains of Money with a Responsible Portfolio -- make sure you have a sufficient amount of bonds in your portfolio

Rule 6: Sample a "Round-the World" Ticket to Index -- build a globally diversified portfolio

Rule 7: Peak Inside a Pilferer's Book -- he exposes the sales tricks of Wall Street and non-fiduciary advisors

Rule 8: Avoid Seduction -- newsletters, junk bonds, hedge funds, gold, fast growing markets are all bad ideas

Rule 9: The 10% Stock Solution...If You Really Can't Help Yourself -- if you really can't resist having an entertainment account, Hallam presents some Warren Buffett-like suggestions on how to pick stocks

View CBS News In
CBS News App Open
Chrome browser logo Chrome Safari browser logo Safari Continue