2 ms·

> I want to start investing some money and before doing it I want to learn how to do it. Start with reading two books: * https://en.wikipedia.org/wiki/The_Ind

> I want to start investing some money and before doing it I want to learn how to do it. Start with reading two books: * https://en.wikipedia.org/wiki/The_Index_Card https://en.wikipedia.org/wiki/The_Index_Card (more US specific) * Millionaire Teacher: The Nine Rules of Wealth You Should Have Learned in School (Second Edition) by Andrew Hallam (author is a Canadian ex-pat, but the advice is general/international) For reasons why you should (probably) not invest in individual stocks see: * https://en.wikipedia.org/wiki/A_Random_Walk_Down_Wall_Street https://en.wikipedia.org/wiki/A_Random_Walk_Down_Wall_Street It was originally written in 1973 and still relevant (new editions cover fads that have come and gone since the original publication).

DeathArrow 5y ago
Thanks! Even if I don't live in US I want to invest in US market because it is better studied and seems more solid.
- throw0101a 5y ago
  By "US specific" he talks about things like 401(k)s and (Roth) IRAs, which are tax-sheltered retirement accounts. As a Canadian, I would translate that to an RRSP. Not sure what you would use. Note that while investing in the US (and internationally) isn't a bad thing, have some portion of your portfolio in your home country/currency generally helps to reduce volatility: > In each market we examined, our analysis indicated that volatility was reduced most with an allocation to international equities of between 35% and 55%. While this observation may help investors determine the appropriate mix of domestic and international equities, volatility reduction is not the only factor to consider. * https://personal.vanguard.com/pdf/ISGGEB_042021_Online.pdf https://personal.vanguard.com/pdf/ISGGEB_042021_Online.pdf * https://www.morningstar.ca/ca/news/206577/home-country-bias-the-good-the-bad-and-the-ugly.aspx https://www.morningstar.ca/ca/news/206577/home-country-bias-... * https://en.wikipedia.org/wiki/Equity_home_bias_puzzle https://en.wikipedia.org/wiki/Equity_home_bias_puzzle * https://www.investopedia.com/terms/h/home-country-bias.asp https://www.investopedia.com/terms/h/home-country-bias.asp

DeathArrow 5y ago

Thanks! Even if I don't live in US I want to invest in US market because it is better studied and seems more solid.

throw0101a 5y ago
By "US specific" he talks about things like 401(k)s and (Roth) IRAs, which are tax-sheltered retirement accounts. As a Canadian, I would translate that to an RRSP. Not sure what you would use. Note that while investing in the US (and internationally) isn't a bad thing, have some portion of your portfolio in your home country/currency generally helps to reduce volatility: > In each market we examined, our analysis indicated that volatility was reduced most with an allocation to international equities of between 35% and 55%. While this observation may help investors determine the appropriate mix of domestic and international equities, volatility reduction is not the only factor to consider. * https://personal.vanguard.com/pdf/ISGGEB_042021_Online.pdf https://personal.vanguard.com/pdf/ISGGEB_042021_Online.pdf * https://www.morningstar.ca/ca/news/206577/home-country-bias-the-good-the-bad-and-the-ugly.aspx https://www.morningstar.ca/ca/news/206577/home-country-bias-... * https://en.wikipedia.org/wiki/Equity_home_bias_puzzle https://en.wikipedia.org/wiki/Equity_home_bias_puzzle * https://www.investopedia.com/terms/h/home-country-bias.asp https://www.investopedia.com/terms/h/home-country-bias.asp