Before I begin this review, you should know that getting English books in Korea (where I live) is quite difficult. Although there is a fairly solid selection of books available, beggars can’t be choosers. So this week I read Eric Tyson’s Investing for Dummies 6th Edition. After the rough (although positive overall) ride I had with Benjamin Graham’s The Intelligent Investor, I was super grateful I could pick this book up.
Admitting you’re a dummy
I’ve never read a “…for Dummies” book before is that I didn’t want to accept that I am indeed a dummy when it comes to some areas. Thankfully, Tyson understands that the complex world of investing requires a bit of hand-holding to get people started. He explains how the different types of assets work, and exactly what they are. For example a bond is essentially a loan that you provide to a company, whilst a stock is you purchasing a fraction of the company.
Similarly Tyson gives detailed investment strategies for many different types of investing, and outlines the pros and cons of each. He also tells you exactly what it is you’ll need to begin investing in whatever asset most interests you, be it stocks and shares, property, or a business.
Tyson also shares some great truths about who to listen to when looking for advice on stocks, and where to get reliable information on investments.
It may be only useful for “dummies”
The clues in the title “Investing for Dummies”, if you already have a good understanding of how investing works then it may be worth flicking through the contents before reading this book. I was left a little unsatisfied with the lack of technical knowledge shared by Tyson, he doesn’t go into too much detail about investment policies, or what to look for in a stock.
Tyson is also writing for a predominantly American audience, so many of the resources he talks about and the investment strategies are unhelpful if, like me, you’re a UK citizen.
Verdict: The title says it all, a great book for beginners, a less-great book for those who want to know more.
Note: Due to the prevalence of American’s in Korea I could only find the US edition, however there is a UK edition but I haven’t read it so I can’t comment on it
If you’d like to read more about investing we’ve got some pretty cool articles that you might like:
- 5 things every rookie needs to know about stocks, shares, and bonds: A run down of the essential parts of investing
- Secrets of the Succesful: Stephanie Brennan: An interview with 24 year old Stephanie Brennan who has managed to build a £1,000,000 property portfolio in just two years
- The 3 things you absolutely need to know about becoming wealthy: Being wealthy is a philosophy as well as a bunch of technical abilities