Ethan picked up an investment book and asked me to read it. I think the reasoning was that since he was spending all day earning the money, the least I could do was to put forth the initial effort to figure out where to put the money. Sounds reasonable. Of course, the book was so boring, I still might hold it against him.
How to Invest $50-$5000; the Small Investor’s Step-By-Step Plan for Low-Risk, High-Value Investing (phew!) by Nancy Dunnan is probably my first attempt into the world of finance. I mean, I know how to balance a checkbook, and I know how to make a budget, but that’s about it. Ethan and I looked into buying a house last year, and blew our minds learning new terminology left and right. This book kind of had the same effect; not that it was mind-blowing; more just that my brain was left in little shredded pieces by the time I was done.
I have to be fair; if you are already interested in finance, and you just want to know how to do it small-scale, this is the book for you. Also, if you take the book over a four- or five-year process, reading each chapter and then implementing it before moving on to the next, it might also be really helpful. I think the thing that overwhelmed me was that the first few chapters talked about what to do with your $50 (things like treasury bonds, for instance), and then moved very quickly up the scale to explaining different stock portfolio options. It’s not rocket science, but I just didn’t have enough background knowledge to grasp what Dunnan was talking about most of the time.
This is not a beginner’s finance book. I am a beginner. ♦