- Investment costs have dropped sharply.
- The tax code has become much friendlier to investors.
- We have seen a proliferation of investment choices, so ordinary investors today can build extraordinarily sophisticated portfolios.
Jonathan Clements is a personal finance columnist at Wall Street Journal, and is the author of the immensely popular ‘The Little Book of Main Street Money’, the forthcoming ‘Money Guide 2015’ and several other books.
Jonathan Clements on thrift to wealth:
Over the years, I have met thousands of everyday Americans who have amassed seven-figure portfolios—and the one attribute shared by almost all of them is that they’re extremely frugal. When I was at Citi, I used to joke to the bankers that they would know a couple was wealthy if they pulled up to the branch in a second-hand Civic, wore clothes from J.C. Penney, and asked to have their parking ticket validated.