Learning investing basics -- gimme the reading list

big_questions

Hello,
I'm looking to start investing. I've been doing a fair bit of homework over the last few weeks, but I still don't feel like I've really got a handle on it all.

Can youze give me your recommendations for really good basic books to get me started (or, more likely, to consolidate all the various bits of stuff I've picked up from websites etc)

Thanks

droopsnoot

Have a search around this forum, there's a thread with some books listed on it.

Archi_Bald

https://forums.moneysavingexpert.com/discussion/4752194

BLB53

Can youze give me your recommendations for really good basic books to get me started (or, more likely, to consolidate all the various bits of stuff I've picked up from websites etc)

A couple of free sites https://www.monevator.com and https://www.diyinvestoruk.blogspot.co.uk

Coincidentally, there is a new book 'DIY Investor' reviewed on the diy investor blog (looks good but a bit expensive imho).

Tim Hale 'Smarter Investing' often mentioned - new edition due soon (again a bit expensive)

Cheap and cheerful ebook ' Slow & Steady Steps from Debt to Wealth' good basic introduction.

A few to be going on with - good luck!

IronWolf

http://investingsidekick.com/learn-to-invest/

A_Flock_Of_Sheep

I like reading Monevator website.

I would also like to say that my portfolio is/was made up of two parts. One part following the passive investing strategy heralded by Tim Hale and Monevator. The other part following the more aggressive "follow the fund manager" approach.

What I can say is the "passive" side has performed markedly better than the "active" side.

On the passive side I have ETF: MIDD and now VUSA covering S&P 500 and have today purchased into Emerging Markets using the Investment Trust JEMI also Real Estate using REIT: JLIF which I have had for a while and topped up when JLIF created more new shares.

So my passive side tracks the FTSE 250 index and when you transpose this against past performance of some of the top fund managers Equity Income funds it outperforms time over. It also tracks the S&P 500 in the USA and now has some exposure to Emerging Markets. This side of the portfolio also doesn't gobble up Fund Manager's fees.

But in conclusion as I say the passive side has performed the best - even against the likes of EDIN, IPHI.

big_questions

Thanks everyone -- really useful.

Flock of Sheep - now, this might be a stupid question. But if the passive side of yr portfolio out-performs the active side, why keep an active side??

Glen_Clark

What you need is my new book titled 'How to make your first million' priced £39.99

Seriously buying a good book is a good idea. Its a bit like if you need to overhaul the engine on your car. All the information is on the web and free, but it takes a lot of finding and a lot of what you find will be wrong, and a lot of it adverts for overpriced stuff you don't need. You need to pay to buy a good workshop manual. Tim Hale's 'Smarter Investing' is a good book.

Linton

A_Flock_Of_Sheep wrote: »

...
So my passive side tracks the FTSE 250 index and when you transpose this against past performance of some of the top fund managers Equity Income funds it outperforms time over.
..
This side of the portfolio also doesn't gobble up Fund Manager's fees.
...

It would do, the FTSE250 is a medium/smallish companies index and so will be more volatile but hopefully better performing than funds that invest in larger companies such as most equity income funds. If you want to invest outside the FTSE100 the average managed UK Small Companies fund has outperformed MIDD over the past 6 months - 18.4% against 14.6% according to Trustnet. The Cazenove and Unicorn Small Companies funds have achieved over 25%.

Dont forget that published managed fund returns are after fees.

big_questions

I got meself Tim Hale's book. Several recommendations on this thread for it can't be wrong ;-)

A_Flock_Of_Sheep

Linton wrote: »

It would do, the FTSE250 is a medium/smallish companies index and so will be more volatile but hopefully better performing than funds that invest in larger companies such as most equity income funds. If you want to invest outside the FTSE100 the average managed UK Small Companies fund has outperformed MIDD over the past 6 months - 18.4% against 14.6% according to Trustnet. The Cazenove and Unicorn Small Companies funds have achieved over 25%.

Dont forget that published managed fund returns are after fees.

Yes but that's all retrospective. It's comical when a fund manager boasts that his or her fund has outperformed the FTSE 100 index or any other comparison. The operative word being outperformed.

Build yourself a word with ED to say it happened.