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  • FIRST POST
    • Twointhebush
    • By Twointhebush 13th Jun 18, 8:38 AM
    • 45Posts
    • 2Thanks
    Twointhebush
    Best Beginner Books for Buying Stocks & Shares?
    • #1
    • 13th Jun 18, 8:38 AM
    Best Beginner Books for Buying Stocks & Shares? 13th Jun 18 at 8:38 AM
    Could someone recommend the best beginner books to buying stocks and shares. I'm a complete beginner and would like to read a couple of books before I even think about parting with money. I find being able to pick a book up now and then a good way of learning about a new subject.

    Thanks,
Page 1
    • OldMusicGuy
    • By OldMusicGuy 13th Jun 18, 9:15 AM
    • 558 Posts
    • 1,126 Thanks
    OldMusicGuy
    • #2
    • 13th Jun 18, 9:15 AM
    • #2
    • 13th Jun 18, 9:15 AM
    IMO you shouldn't buy a book on "buying stocks and shares", because that is not where a beginner should start. And you need to read a book that will help you understand why that is. This is a cheap (especially on the Kindle), straightforward book that will help you understand all the different investment options out there: https://www.amazon.co.uk/DIY-Simple-Investing-Guide-Effective-ebook/dp/B00YPF6RCQ. Once you have read that, it may help you identify the type of investments that interest you and you can then move on to more advanced stuff.

    And apologies if I misunderstood your post, maybe you already know everything in this book and genuinely want to start stock-picking. If that's the case, I can't help. However, from your post it does sound like you are just starting out at all of this.
    • ColdIron
    • By ColdIron 13th Jun 18, 9:15 AM
    • 4,587 Posts
    • 5,907 Thanks
    ColdIron
    • #3
    • 13th Jun 18, 9:15 AM
    • #3
    • 13th Jun 18, 9:15 AM
    The best advice a beginner could receive is not to get involved in buying and selling individual stocks and shares. You should be looking at collective forms of investment. The link below will give you a taster, it focusses on index tracking or passive investing but that would not be a bad place to start for a novice

    http://monevator.com/category/investing/passive-investing-investing/
    • BLB53
    • By BLB53 13th Jun 18, 9:27 AM
    • 1,376 Posts
    • 1,151 Thanks
    BLB53
    • #4
    • 13th Jun 18, 9:27 AM
    • #4
    • 13th Jun 18, 9:27 AM
    Yes, I would also recommend the 'DIY Simple Investing' book as a good introduction.

    Other good books would be Hale 'Smarter Investing' (a bit pricey but may be available in library) and Investing Demystified by Kroijer...but he has a free video on his website which is good...http://kroijer.com/
    If you choose index funds you can never outperform the market.
    If you choose managed funds there's a high probability you will underperform index funds.
    • Twointhebush
    • By Twointhebush 13th Jun 18, 9:41 AM
    • 45 Posts
    • 2 Thanks
    Twointhebush
    • #5
    • 13th Jun 18, 9:41 AM
    • #5
    • 13th Jun 18, 9:41 AM
    Thanks, I'll have a closer look at these later. I definitely don't want to jump in feet first. I've started a pension and was just considering put a % into shares. Buying stocks does seem too risky for me, but a proportion of my investments in shares might be a good idea?
    • OldMusicGuy
    • By OldMusicGuy 13th Jun 18, 10:34 AM
    • 558 Posts
    • 1,126 Thanks
    OldMusicGuy
    • #6
    • 13th Jun 18, 10:34 AM
    • #6
    • 13th Jun 18, 10:34 AM
    Buying stocks does seem too risky for me, but a proportion of my investments in shares might be a good idea?
    Originally posted by Twointhebush
    Buying individual stocks is far too risky and a poor investment strategy for a pension (unless you are a stock-picking expert, and most people aren't). But investing in equities is a crucial part of any pension strategy, which is why you need to look at all the resources mentioned in the above posts and understand about investing in multi-asset funds that mix a range of equity investments with other assets.
    • kidmugsy
    • By kidmugsy 13th Jun 18, 11:12 AM
    • 11,600 Posts
    • 8,126 Thanks
    kidmugsy
    • #7
    • 13th Jun 18, 11:12 AM
    • #7
    • 13th Jun 18, 11:12 AM
    I like John Kay.

    The Long and the Short of It: A guide to finance and investment for normally intelligent people who aren't in the industry Paperback; 1 Dec 2016
    Free the dunston one next time too.
    • Crystal_Pixie
    • By Crystal_Pixie 13th Jun 18, 12:54 PM
    • 79 Posts
    • 25 Thanks
    Crystal_Pixie
    • #8
    • 13th Jun 18, 12:54 PM
    • #8
    • 13th Jun 18, 12:54 PM
    Plus if anyone is a kindle unlimited subscriber both books can be borrowed.


    Thanks for the tip - I have just downloaded both books.
    • BLB53
    • By BLB53 13th Jun 18, 6:22 PM
    • 1,376 Posts
    • 1,151 Thanks
    BLB53
    • #9
    • 13th Jun 18, 6:22 PM
    • #9
    • 13th Jun 18, 6:22 PM
    Buying stocks does seem too risky for me, but a proportion of my investments in shares might be a good idea?
    'Stocks' is the American term for 'Shares' which we use in the UK but both are one and the same thing i.e. equities. This is one particular class of assets which can deliver the best returns but they are more risky/volatile than other assets such as government bonds (gilts), property and cash deposits.
    If you choose index funds you can never outperform the market.
    If you choose managed funds there's a high probability you will underperform index funds.
    • ianthy
    • By ianthy 13th Jun 18, 8:50 PM
    • 124 Posts
    • 69 Thanks
    ianthy
    I like 'The Little Book of Common Sense Investing' by John C Bogle. I have read it end to end, then I dip in and out to remind myself about different aspects. Its very simple and straightforward - which suits my investment style.
    • Tarambor
    • By Tarambor 14th Jun 18, 2:56 AM
    • 3,571 Posts
    • 2,647 Thanks
    Tarambor
    Tim Hales Smarter Investing is a good starting point and a recommended must read by many.
    • Wassa123
    • By Wassa123 14th Jun 18, 12:02 PM
    • 351 Posts
    • 165 Thanks
    Wassa123
    Just read Investing For Dummies.

    It's pretty good as an intro book.

    I've also got Mutual Funds for Dummies and Tim Hales Smarter Investing to read.
    • Thrugelmir
    • By Thrugelmir 14th Jun 18, 12:55 PM
    • 59,853 Posts
    • 53,223 Thanks
    Thrugelmir
    THE HARRIMAN BOOK OF INVESTING RULES

    An invaluable read however experienced you maybe. Something you can dip in and out of. Read over and over. Comprehensive but easy to read.
    Last edited by Thrugelmir; 14-06-2018 at 12:57 PM.
    Financial disasters happen when the last person who can remember what went wrong last time has left the building.
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