Investing QuickStart Guide - 2nd Edition

Ted D. Snow

Description

The Best Selling QuickStart Guide, Now In an Updated and Expanded 2nd Edition – Over 100 Pages of New Content, Including Updates to Reflect the Realities of Investing

The ONLY investing book that is written by a CFP® practitioner with 30+ years of investment experience.

THE ULTIMATE BEGINNER'S GUIDE TO INVESTING!

Do you want to learn how to make your hard-earned money work for you?

Are you interested in learning how to create real wealth by harnessing the power of the stock market?

Have you ever dreamed of using stock market investing to create passive income retire early?

A robust investment strategy forms the basis of any wealth building journey—if your money isn’t working hard on your behalf, it’s slowly being devalued by inflation. It has never been easier—or more important—for everyday investors to get started investing in the stock market.

Bestselling author, advisor, and financial industry veteran Ted D. Snow CFP®, MBA brings over 30 years of experience to the pages of Investing QuickStart Guide. Presented in plain English and written with new investors in mind, Investing QuickStart Guide proves that with the right guidance anyone can find investing success and build the financial freedom we all deserve.

WHAT'S NEW IN INVESTING 2ND EDITION?

With over 100 pages of new material, Investing QuickStart Guide is updated and revised for an entirely new investing environment and includes:

• A deeper dive into the asset classes that make up a robust portfolio including a thorough and expanded examination of investable real estate
• An increased focus on managing—and reducing—your tax liabilities related to investment activities in light of new tax law developments
• A tour of the pros and cons of new and emerging finance technologies (aka fintech) and an increased focus on ESG investing—the practice of Environmental, Social, and corporate Governance sustainable investing.

Discover the Secrets of Successfully Investing In:

• Stocks (Including Dividend Paying Stocks!)
• Mutual Funds
• ETFS
• Bonds
• Index Funds
• REITS and Real Estate
• Commodities

Investing QuickStart Guide is Perfect For:

• Beginners with Zero Prior Investing Experience

• Reading alongside other popular financial books such as The Intelligent Investor, A Random Walk Down Wall Street, and The Little Book of Common-Sense Investing

• Experienced Investors who Want to Go to the Next Level

• Teaching anyone to invest in the stock market – even kids and teens!

Investing QuickStart Guide Covers:

• Everything You Need to Know Before You Make Your First Trade!

• How To Take Advantage of Opportunities in the Market Without Relying on Guesswork!

• How to Evaluate and Compare Stocks and Other Securities!

• How Disciplined Approaches to Investing Can Lead to Early Retirement and Financial Freedom!

• How National and Global Economic and Geopolitical Factors Can Influence Investment Prospects!

This book has been reviewed by The Financial Industry Regulatory Authority (FINRA).

Introduction

Chapter 1: Asset Mix

Chapter 2: Stocks

Chapter 3: Bonds

Chapter 4: Real Estate

Chapter 5: Using Time to Grow Wealth

Chapter 6: Investment Strategies

Chapter 7: The Short Game

Chapter 8: Investment Psychology

Chapter 9: Decision Time

Chapter 10: Choose Your Investment Services

Chapter 11: Tax Planning

Chapter 12: The Changing World

Chapter 13: Beyond Profit

Chapter 14: Investing Your Way to Financial Freedom

Conclusion
About the Author

About QuickStart Guides

Glossary

Disclosures

References

Index

Sujets

• General
• Business
• Economics
• Investment
• General officer
• Personal finance
• Investing

Informations

• Publié par: ClydeBank Media LLC
• Date de parution: 25 janvier 2022
• Nombre de lectures: 2
• EAN13: 9781636100296
• Langue: English
• Poids de l'ouvrage: 4 Mo

Extrait

BEFORE YOU START READING, DOWNLOAD YOUR FREE DIGITAL ASSETS!

DOWNLOAD DIGITAL ASSETS NOW:
www.clydebankmedia.com/investing-assets
The superscript letters found throughout this book correspond to the disclosure statements found on page 273.
Table of Contents
Cover
Contents
Introduction
From Websterville to Dallas—My Story
The Risks of Not Investing
Knowing When to Start Investing
How This Book Is Organized
New in This Edition
Chapter by Chapter
PART I - KEY ASSET CLASSES

| 1 | Asset Mix

Understanding Asset Allocation
Asset Allocation in Major Investment Categories
| 2 | Stocks
The Basics of the Stock Market
Common Stocks vs. Preferred Stocks
Other Ways to Categorize Stock
Reading Stock Tickers and Stock Tables
Essential Stock Metrics
Buying and Selling Stocks
Key Stock Market Indexes
Bull and Bear Markets
| 3 | Bonds
Term Length and Interest Rate
Implications of an Inverted Yield Curve
How Bonds Are Traded
| 4 | Real Estate
Advantages of Investing in Real Estate
Managing Risks Associated with Real Estate
Different Ways to Invest in Real Estate
Why Your Home Is Not an Investment
Financing, Managing, and Protecting Your Investment
PART II - Investment Strategies and Tactics
| 5 | Using Time to Grow Your Wealth
Understanding Returns
Accounting for Inflation
Determining an Appropriate Asset Mix
Index Investing and Mutual Funds
Exchange-Traded Funds
Other Funds and Investments
| 6 | Investment Strategies
Picking the Right Stocks
Buying on Down Days
Dollar Cost Averaging
Bear Market Strategies
| 7 | The Short Game
Day Trading
Options Trading
Buying Stocks on Margin
Short Selling
Penny Stocks
Forex
Commodities Futures
| 8 | Investment Psychology
The Expanding Field of Behavioral Finance
The Seduction of Market Timing
Other Stumbling Blocks to Avoid
PART III - GETTING IN THE GAME
| 9 | Decision Time
How to Choose a Stock, ETF, or Other Security
Theories, History, and Lessons
Paying Attention to Your Investments
| 10 | Choose Your Investment Services
Finding a Financial Advisor
Internet-Based Investment Services
Robo-Advisors
Follow and Trade Stocks with Mobile Apps
| 11 | Tax Planning
Types of Investment Taxes
Understanding Bonds and Taxes
Tax Implications of Traditional and Roth IRAs
Tax Advantages of Real Estate Investing
| 12 | The Changing World
How Is Fintech Used?
How Fintech Affects the Stock Market
Investing in Fintech
| 13 | Beyond Profit
Why You Do Not Need to Sacrifice Profit
Resources for Ethical Investing
Use Institutional Investors as a Guiding Light
A Word of Warning about Ethical Investing
| 14 | Investing Your Way to Financial Freedom
The FIRE Movement
Living Below Your Means
Investment Strategies for Financial Independence
Conclusion
About the Author
About ClydeBank Media
Glossary
Disclosures
References
Introduction

You don’t need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beats the guy with the 130 IQ.
– WARREN BUFFETT
A lot on the financial landscape has changed in the three years since I wrote the first edition of this book. A surge in technology affecting nearly every aspect of finance, the rise of bitcoin and other cryptocurrencies, a global pandemic, and other events have profoundly changed the way people, businesses, governments, and other institutions pay bills, conduct banking, borrow money, buy investments, and handle other financial business.
While advances in financial technology, or fintech, had already taken hold, the pandemic greatly hastened its application for many businesses and consumers looking for contactless transactions and communication. Financial institutions also had to pivot quickly as many banks were forced to shut their doors to customers during lockdown periods and tumultuous markets kept investors guessing.
Financial education has always been important, but it is arguably more so now than ever as new innovations in finances and investing rise to meet the needs and capture the attention of a new generation of investors. I have always been surprised at how little formal academic curriculum is available that’s devoted to training our youth on the importance of saving and investing—even at the college level. Financial education is too often a solitary pursuit, with students forced to rely on advice from investment “gurus,” television personalities, and, yes, authors who are not licensed in the financial field but are simply trying to get readers to subscribe to their stock-picking service. While there are a variety of good investment books out there, many of which are referenced and discussed in this book, beginner-friendly books with information presented in a clear, unbiased, and understandable manner seem to be in short supply.
The first edition of Investing QuickStart Guide was well-received by readers, who said they benefited significantly from the material it provided. While I didn’t expect to revise the book just three years after writing it, I found I couldn’t shake the feeling that readers needed to be kept informed about the rapid and profound changes occurring in the areas of investing and other aspects of finance. A talk with my editors confirmed my belief that updates to the book would benefit readers, and the second edition was launched. It is my hope that you will find it useful and that you and your portfolio will benefit from reading it.
Much about investing has changed since I wrote the first edition of this book, but the essentials have not. Good investing is not about hindsight. It’s not about looking back and kicking yourself because you didn’t buy Netflix stock in 2010 when it sold for about $22 a share, as compared to nearly $547 a share as I am writing this. No one in 2010 could have predicted a global pandemic a decade later that would send demand for streaming services soaring—and Netflix stock along with that demand. When it comes to investing, time is the ultimate storyteller and the sole arbiter of success and failure.
Good investing is about knowing what you own and why you own it while making simple, sound, and disciplined decisions right now, in the present. It is about making decisions in a way that lays the groundwork for wealth accumulation and a strong, secure financial future. It is not about predicting market behavior and timing the markets, which, as evidence shows, is at best a waste of energy, and at worst, potentially disastrous for your portfolio.

You can spend all the energy you want trying to time the market and guessing when the value of certain stocks will rise and fall. For my money, I will do my homework, understand the companies in which I’m investing, buy stock, and trust that its value will increase, building wealth over time.
What I hope you’ll get from this book is an eyes-forward, feet-on-the-ground approach to investing, with an emphasis on long-term wealth-building strategy. I am not a speculator and I do not spend hours poring over stock charts trying to spot trends. What I do is as simple as paying attention to the securities in which I invest. I buy when a security is being undervalued by the market, and I sell when it seems to be overvalued. I seek out opportunities to diversify and maximize potential returns. I am a consummate investor, not a trader, and if you are not clear on the distinction, you will be by the time you finish this book.
Though my personal investment philosophy is threaded throughout the text, I strive to present information in an objective and highly readable manner. You’ll find easy-to-reference chapter headings and a glossary of terms that make it easy to skip around if there are certain areas where you need more help. If you are brand-new to investing, I do recommend reading the book straight through, as we have done our best to introduce topics and vocabulary in a logical, sequenced manner that lends itself to easy learning. The goal of this text is, after all, to be the quintessential beginner’s guide to investing. Nevertheless, given the range of topics analyzed and discussed, more experienced investors are sure to learn a thing or two as well.
While I am familiar with almost all types of investments, my personal expertise is in mutual funds, stocks, bonds, and exchange-traded funds (ETFs), the kinds of securities that in my judgment are prudent and appropriate for all levels of investors. Though we will briefly touch on commodities, futures, options, penny stocks, and the forex market, this book’s primary focus will be on public stocks, bonds, mutual funds, and ETFs. We will not be covering private equity investing, angel investing, or self-managed real estate investments.
Having launched and managed my own financial services company, I have had the privilege of helping numerous individuals of varying backgrounds pursue and achieve their financial goals, and I hope that through this book I can do the same for you. Before we get started, though, I’d like to tell you my personal story, which inspired and has shaped my career, my value system, and how I live my life.
From Websterville to Dallas—My Story
I’ve been intrigued with how money works ever since I got my first passbook savings account when I was five. A passbook account is a type of savings account you open at a bank that comes with a small, paper book called a passbook into which deposits and withdrawals are recorded. Passbook accounts have pretty much gone the way of black-and-white TVs, although some banks still offer them. I’m not sure how it happened, but my DNA must have had financial concepts and dollar signs embedded into it, as my strategies went way beyond what one might expect in the management of a five-year-old’s savings account. I was always thinking about how to maximize my resources. As the years rolled on, I would watch my sister pay full price for vinyl record albums, w