6 ms·

Ash HN: Suggestions for Good Resources for Investing

12 points by harshamv22 6y ago

I would love to understand economics and build knowledge around investing. Please suggest some good resources around economics and investing (stocks, companies etc.)

logicslave 6y ago
Buy and hold
gndclouds 6y ago
I have found [Wealthfront](https://blog.wealthfront.com https://blog.wealthfront.com) to have a lot of good resources on their blog. And Robinhood has a nice section on [intro to economics](https://learn.robinhood.com https://learn.robinhood.com) which is public.
shoo 6y ago
A reasonably sound place to start for investing as an individual is the Bogleheads wiki: https://www.bogleheads.org/wiki/Main_Page https://www.bogleheads.org/wiki/Main_Page The general Bogleheads approach isn't to try to estimate value of individual stocks or sectors of the economy, basic idea is passive investment: buy & hold index funds to get diversified exposure to market returns, then minimise costs by avoiding funds with high management fees. Bernstein's http://www.efficientfrontier.com/ http://www.efficientfrontier.com/ is good reading, from perspective of individual investor. If on the other hand you want to learn about how to estimate value of companies (this will probably will not have a good return on time or money invested for an individual compared to low effort passive investment approach) one place to start reading is http://pages.stern.nyu.edu/~adamodar/ http://pages.stern.nyu.edu/~adamodar/ & http://aswathdamodaran.blogspot.com/ http://aswathdamodaran.blogspot.com/
- imakwana 6y ago
  +1. Bogleheads Wiki is a goldmine of sound investing principles and personal finance. Also highly recommend their books reading list: https://www.bogleheads.org/wiki/Books:_recommendations_and_reviews https://www.bogleheads.org/wiki/Books:_recommendations_and_r...
cpach 6y ago
You might want to have a look at this thread posted a few weeks ago: https://news.ycombinator.com/item?id=23052066 https://news.ycombinator.com/item?id=23052066
- giantg2 6y ago
  I was going to say, we covered this recently.
deleted 6y ago
[deleted]
sloaken 6y ago
Easy mode - Buy a ETF that represents the S&P 500. Mode I plan to use with my kids - I have just picked up a great book, I have read the first 3 chapters. 'Warren Buffett's 3 Favorite Books: A guide to The Intelligent Investor, Security Analysis, and The Wealth of Nations' The author is trying to condense the 3 books into an easy to read book. So far I find it wonderful.
kosmischemusik 6y ago
Most actively managed funds do not beat the index. For the average investor who doesn't have more than a couple of hours every week to figure out their investment strategy, just invest in indices. If you're in the US - the Nasdaq Composite or S&P 500. If you're in India, the Nifty 50 or Nifty 100. You can do this through ETFs. However, it is not recommended you invest only in equity. Market crashes can result in your wealth eroding by 30-50% as seen recently and back in 2008. While it does recover in the long run, it is impossible to say how long a bear market will last which means your money will be locked in for quite some time. Further, your returns may not outperform inflation in a shorter time-frame. Also, if you have an emergency, the money is no longer liquid. It is highly advisable to diversify your investment across asset classes. Having gold & fixed income (debt) in your portfolio will help protect during adverse market conditions and grow at a modest rate during bull markets. An example is this product which is available to investors in India: https://www.smallcase.com/smallcase/SCAW_0001 https://www.smallcase.com/smallcase/SCAW_0001. It is only an example to show you how asset allocation helps protect against market volatility/crashes. I would highly recommend you read about portfolio construction using the core-satellite methodology. https://www.vanguard.co.uk/documents/adv/literature/client_material/core-satellite-investing-guide.pdf https://www.vanguard.co.uk/documents/adv/literature/client_m... It would be wise to create an emergency fund for anywhere between 6-12 months as a separate thing. Once you're more confident, start exploring niche indices; there are many ETFs. For example, the Bessemer Emerging Cloud Index has performed extremely well since March. An astute investor would have realized that people locked-in and working remotely would result in an increase in productivity apps, video content consumption etc. These rely on cloud platforms for hosting and delivery. One would have invested in it and made some pretty good returns. An investment on March 1st would be up 21% compared with 4% in Nasdaq Composite. But this requires you to keep an eye on what's happening in the world and being able to interpret it. There aren't shortcuts to this. But to get started with, you can start learning about the basics of business & economics. This might help: https://learn.tickertape.in/ https://learn.tickertape.in/ A very comprehensive resource for learning about investing can be found here: https://zerodha.com/varsity/ https://zerodha.com/varsity/ (there's a lot of modules on trading, ignore if you don't want to trade. Do modules 1, 3 & 11). Happy learning :).
kratom_sandwich 6y ago
Get your hands on the CFA course material or for an introductory text read "Corporate Finance" by Berk and DeMarzo

12 points by harshamv22 6y ago

I would love to understand economics and build knowledge around investing. Please suggest some good resources around economics and investing (stocks, companies etc.)

logicslave 6y ago

Buy and hold

gndclouds 6y ago

I have found [Wealthfront](https://blog.wealthfront.com https://blog.wealthfront.com) to have a lot of good resources on their blog. And Robinhood has a nice section on [intro to economics](https://learn.robinhood.com https://learn.robinhood.com) which is public.

shoo 6y ago

A reasonably sound place to start for investing as an individual is the Bogleheads wiki: https://www.bogleheads.org/wiki/Main_Page https://www.bogleheads.org/wiki/Main_Page The general Bogleheads approach isn't to try to estimate value of individual stocks or sectors of the economy, basic idea is passive investment: buy & hold index funds to get diversified exposure to market returns, then minimise costs by avoiding funds with high management fees. Bernstein's http://www.efficientfrontier.com/ http://www.efficientfrontier.com/ is good reading, from perspective of individual investor. If on the other hand you want to learn about how to estimate value of companies (this will probably will not have a good return on time or money invested for an individual compared to low effort passive investment approach) one place to start reading is http://pages.stern.nyu.edu/~adamodar/ http://pages.stern.nyu.edu/~adamodar/ & http://aswathdamodaran.blogspot.com/ http://aswathdamodaran.blogspot.com/

imakwana 6y ago
+1. Bogleheads Wiki is a goldmine of sound investing principles and personal finance. Also highly recommend their books reading list: https://www.bogleheads.org/wiki/Books:_recommendations_and_reviews https://www.bogleheads.org/wiki/Books:_recommendations_and_r...

cpach 6y ago

You might want to have a look at this thread posted a few weeks ago: https://news.ycombinator.com/item?id=23052066 https://news.ycombinator.com/item?id=23052066

giantg2 6y ago
I was going to say, we covered this recently.

deleted 6y ago

[deleted]

sloaken 6y ago

Easy mode - Buy a ETF that represents the S&P 500. Mode I plan to use with my kids - I have just picked up a great book, I have read the first 3 chapters. 'Warren Buffett's 3 Favorite Books: A guide to The Intelligent Investor, Security Analysis, and The Wealth of Nations' The author is trying to condense the 3 books into an easy to read book. So far I find it wonderful.

kosmischemusik 6y ago

Most actively managed funds do not beat the index. For the average investor who doesn't have more than a couple of hours every week to figure out their investment strategy, just invest in indices. If you're in the US - the Nasdaq Composite or S&P 500. If you're in India, the Nifty 50 or Nifty 100. You can do this through ETFs. However, it is not recommended you invest only in equity. Market crashes can result in your wealth eroding by 30-50% as seen recently and back in 2008. While it does recover in the long run, it is impossible to say how long a bear market will last which means your money will be locked in for quite some time. Further, your returns may not outperform inflation in a shorter time-frame. Also, if you have an emergency, the money is no longer liquid. It is highly advisable to diversify your investment across asset classes. Having gold & fixed income (debt) in your portfolio will help protect during adverse market conditions and grow at a modest rate during bull markets. An example is this product which is available to investors in India: https://www.smallcase.com/smallcase/SCAW_0001 https://www.smallcase.com/smallcase/SCAW_0001. It is only an example to show you how asset allocation helps protect against market volatility/crashes. I would highly recommend you read about portfolio construction using the core-satellite methodology. https://www.vanguard.co.uk/documents/adv/literature/client_material/core-satellite-investing-guide.pdf https://www.vanguard.co.uk/documents/adv/literature/client_m... It would be wise to create an emergency fund for anywhere between 6-12 months as a separate thing. Once you're more confident, start exploring niche indices; there are many ETFs. For example, the Bessemer Emerging Cloud Index has performed extremely well since March. An astute investor would have realized that people locked-in and working remotely would result in an increase in productivity apps, video content consumption etc. These rely on cloud platforms for hosting and delivery. One would have invested in it and made some pretty good returns. An investment on March 1st would be up 21% compared with 4% in Nasdaq Composite. But this requires you to keep an eye on what's happening in the world and being able to interpret it. There aren't shortcuts to this. But to get started with, you can start learning about the basics of business & economics. This might help: https://learn.tickertape.in/ https://learn.tickertape.in/ A very comprehensive resource for learning about investing can be found here: https://zerodha.com/varsity/ https://zerodha.com/varsity/ (there's a lot of modules on trading, ignore if you don't want to trade. Do modules 1, 3 & 11). Happy learning :).

kratom_sandwich 6y ago

Get your hands on the CFA course material or for an introductory text read "Corporate Finance" by Berk and DeMarzo