[ 3 / biz / cgl / ck / diy / fa / ic / jp / lit / sci / vr / vt ] [ index / top / reports ] [ become a patron ] [ status ]
2023-11: Warosu is now out of extended maintenance.

/biz/ - Business & Finance

View post   
File: 35 KB, 750x500, socrate-750x500.jpg [View same] [iqdb] [saucenao] [google]
24272532 No.24272532 [Reply] [Original]

I want to learn how to be good with money and how finances work, any good advice/starting point/ book recommendation?
I am financially retarded, no debt but no money either to speak of.

>> No.24272847

>>24272532
Start by learning basic economics. Coincidentally enough, Thomas Sowell has a good book called ... Basic Economics, it's a long read, but it gives the fundamentals of a capitalist free market take on economic systems.
If you learn how money and wealth is moved, acquired, where it's generated etc. and how every aspect of life contributes to the outcome of where wealth ends up, you can understand wealth management much easier.

Some advice I can give, but will probably go in one ear and out the other, is live far below your means. Don't fall into the consumerist trap. And open a TFSA, and slowly build a small savings account that you can invest into a safe guaranteed return, and build from there. I started out with 1200 dollars, my portfolio grew from a simple government bond, to a diversified stock portfolio worth about 13,000 now. I started three years ago.

>> No.24272929

>>24272532
There are a few good channels on YouTube to watch. Dave Ramsey is very basic but it has a lot of good real world scenarios that help you learn from other peoples mistakes. It’s content that’s aimed at the average person so it’s dumbed down but there’s a lot of good info there. There’s also the often recommended “the millionaire next-door” book. Another one is called “think and grow rich”

>> No.24272960

>>24272532
Watch this channel: https://m.youtube.com/channel/UCDXTQ8nWmx_EhZ2v-kp7QxA

Realise that people on /biz/ are retard degenerate gamblers.

Leave this place and actually make money with solid long term strategies.

>> No.24272963

>>24272532
hazlitt in one lesson.

also, being debt free is crucial for everyone if they start pushing the great reset.

dont get into debt. dont accept their 'free money' (with strings attached).

>> No.24273012

>>24272847
>>24272929

Thank you both for the advice/ recommendation!

also the advice about living below my means won't be ignored. I'm already anti-consumerism and the only reason I pursue wealth is because I want to be free, not to buy flashy clothes or cars.

I'll check that youtube channel and those three books. I appreciate the advice

>> No.24273045

>>24272960
kek, noted. I'll check that channel

>> No.24273074

>>24272963
Redpilled anon, I'll check it out.

>> No.24273324

>>24272532
Think in terms of money.
List where you spend it, save mone, increase income, invest in ETF's, invest in drcreased living cost/sustainability, eventually your passive is greater than your living cost.

>> No.24273418

>>24273324
What's ETF and why should I invest in that in particular?

>> No.24273416

>>24272847
Economics? Kek
Literally a waste of time.

>> No.24273443

>>24273416
Isn't this the thread for it? I think it would help me be good at investing

>> No.24273453

>>24273418
It's a basket of stocks. You simply hold your small part of the global market which goes up in the long run

>> No.24273489

>>24273443
I Know Jack shit about economics, but it doesnt matter for An investor

>> No.24273584

>>24273489
How counter-intuitive. Why do people study economics? How is it useful?

>>24273453
Do you recommend investing in ETF because you've had success with it? Because it's a safe investment?

>> No.24273717

>>24273584
Look up the gold standard and after that look what happens since it's no more in use. You will see that ETFs are a good investment after that.

>> No.24273827

>>24273717
I will, thanks for the suggestion

>> No.24273921

>>24273827
There was a really good post about it on /biz/ yesterday, I would suggest to search it up in the archives.

>> No.24273929

>>24273584
It's simple and safe yes. Simply don't sell for as long as possible
If you wanna pick stocks i guess you need some economics, but even Warren buffet struggles to keep up with a simple passive index

>> No.24274020

>>24273489
> *tard spinning a roulette wheel*
> "I'm A bIg BoY! i'M aN iNvEsToR!!"
> *drools*

>> No.24274032

>>24273929
Oh? I know that Warren Buffet is a well known man but I dunno what a passive index is.

>> No.24274075

If you wanna get into serious investing, there’s no better tip i can give than to watch martin shkrelis investing seris. Should still be on yourube somewhere he really is good at teaching

>> No.24274107

>>24274075
Series** fucking phoneposting

>> No.24274147

>>24274107
Noted, thanks for the suggestion my dude

>> No.24274153

>>24274032
It's a fund that tracks the market passively. Lowest fees you can get, and built in diversification.
All serious academic studies have shown that the vast majority of investment firms cannot beat index funds in long time frames.

Saves you both time and money.

Search for index fund / ETF on YouTube. Watch a guy called Ben Felix.

>> No.24274201

>>24274153
Some other anon recommended Ben Felix too so I'm definitely checking him out. Passive indexes sound based as heck

>> No.24274252
File: 2.35 MB, 1665x3441, personalfinanceprimedirective.jpg [View same] [iqdb] [saucenao] [google]
24274252

Pic related is 90% of what you need to know.
>>24273418
Expanding on the other anon's post, the value of an ETF is diversity. If you own 500 stocks and 1 fails, you're down less than 1% because the other 499 are propping up the value of the ETF. In that sense it's great for loss prevention. The other key element is the trend for the past century for stocks to go up, so you can "generally" assume that whatever you buy today will build over time and be worth more in 30 years. The only real downside is that it is a slow grind and you won't moon with any ETF, so your time horizon is basically "keep this in this ETF until I retire".

>> No.24274405

>>24274252
Thanks for the image brother! seems really full of good information.

So ETF are until retirement, why invest in ETF instead of retirement savings account? does it make me more money on average with the interests and because of inflation?

>> No.24274429

>>24274252
Based personal finance education right here.
If you're able to follow this, you've got your shit together.

>> No.24274496

>>24274405
Retirement savings accounts are often invested in index funds and ETFs.
Check the details of yours.

But you can also buy into index funds and ETFs outside of a retirement savings account. The money is not locked in, but you might miss out on some really good tax benefits. Check the rules in your country.

>> No.24274571
File: 73 KB, 330x381, 1605877059607.jpg [View same] [iqdb] [saucenao] [google]
24274571

>>24272847
>Sowell

>> No.24274597

>>24272532
The Art of the Deal

>> No.24274689

>>24274597
I'll check it out.
>>24274571
what's the issue with Sowell?

>> No.24274987

>>24272532
would unironically start with Glitch wp

>> No.24275037

>>24274987
i've no clue what that is