Newbie Investor Resources – Empowered, with value, like rabbits and more

The My Own Advisor inbox was nearly flooded last month, with reader emails about just starting out on their investing journey.  Again, thanks for your emails folks and keep them coming.  Here are some of my favourite resources, free or for a very small fee, for new investors to check out.  Spending a few bucks now could save you thousands of investing dollars later – so read on.

Want to feel empowered?

“To ensure a prosperous and financially secure future, we need to understand the potential roadblocks that can prevent us from succeeding. Knowing the rules of the playing field can save you a lot of headaches down the road – and dramatically improve your odds of future success.” –Keith Matthews, Author, The Empowered Investor.

Well said Keith.  Your Canadian guide to building a better investor experience is here folks. The Empowered Investor includes the eight common pitfalls that plague most investors.  This book educates new investors that lack of proper diversification (by asset class, industry, country and currency) is one of the top pitfalls to avoid.  You should also be wary of the financial machine itself:

“The investment advice business is like no other.  Smooth marketing campaigns and the sure-fire tips of industry “experts” are designed to make us believe that your financial well-being is their number one priority.  Unfortunately, the investment industry does not make a profit simply by ensuring that your financial wealth is intact; it makes money by selling you products and strategies.”

You can read my review of this book here.  A free copy should still be available here.

Want to keep it simple from the start?

You might have heard about index investing already, even if you don’t invest this way yet.  There are a number of advantages that come with indexing:  diversification, transparency, low costs, competitive (market) performance, potential for tax efficiency, and simplicity.

There is a book that discusses indexing and how to keep investing simple from the start: The Value of Simple by John Robertson.  The Value of Simple provides a nice overview of the various accounts most Canadian investors might be expected to own:  a Tax-Free Savings Account (TFSA), a Registered Retirement Savings Plan (RRSP) and a Registered Education Savings Plan (RESP), and how to optimize the use of these accounts.

The best part of The Value of Simple comes when what I call the “introductions” are out of the way.  There is a step-by-step guide for how to invest in some financial products with some online banks and brokerages.  This book actually walks you through the processes of setting-up your account and making investment choices; pictures and all.

Get a copy of this valuable beginner book for less than $10. You can read my review of this book here.

Want your wealth to multiply like rabbits?

Who knew a personal finance book would include references to rabbits, zombies, and the losing record of the Toronto Maple Leafs to educate investors.  Ah, those poor Maple Leafs…

Anyhow, this is exactly what Wealthing Like Rabbits contains, an original new introductory personal finance book written by Robert Brown.  Comparing the “mind-numbing” power of compound interest to the multiplying power of rabbits (and zombies), Robert reminds us that saving early, saving often and letting your investments do the work is one of many keys to wealthing your way to financial freedom.

Wealthing Like Rabbits shows us that sound financial planning is not overly complex but it does take some discipline; saving for your future self and spending the money that is leftover wisely.

Get a copy of this valuable investing book for less than $10. You can read my review of Robert’s fine book here.

Want to stop sweating the financial stuff?  Don’t overthink it

When it comes to personal finance it’s easy for many of us to get lost in translation.  Preet Banerjee’s latest book entitled Stop Over-Thinking Your Money! The Five Simple Rules of Financial Success is a great read that I thoroughly enjoyed.  The book appeals to beginners who are looking for advice to start their financial journey and it also serves up some straight talk reminders for those already on their financial paths.

Here are Preet’s five simple rules from the book:

• Disaster-Proof Your Life
• Spend Less Than You Earn
• Aggressively Pay Down High-Interest Debt
• Read The Fine Print
• Delay Consumption

Get a copy of this gem for all investors for less than $15. You can read a review of Preet’s book here.

Lastly, if you’ve already read some of these books and are curious about learning more about dividend stocks and investing consider subscribing to 5i Research in my sidebar (affiliate) and get a free copy of Canadian MoneySaver’s Young Money edition.  You might even wish to subscribe to Canadian MoneySaver.  That subscription starts at just over $20 for the entire year and MoneySaver articles cover everything from investing, to tax management to insurance.

I can appreciate the world of personal finance and investing can be overwhelming.  To help you out, keeping reading (my blog) and consider the great resources above.  Thanks for your reader questions and as always keep them coming.