New to the game

[tekkado]

Hi, this is my first post and just searching for some info. Im a uni student and now that its holidays I've decided to read up on investing, from shares to property and how it all works. I've visited the ASX site and read the beginners walk through there. If someone could point me to some recommended reading that'd be great.

Thanks

[farmer fred]

Hi tekkado, if you follow some of the links on this site you should find some useful information.

 

 

http://www.lainie.com.au/shares/index.html

[tekkado]

thanks for that

[triage]

tekkado

 

Not sure where are you at in terms of seriousness and skill and experience but imo the first thing you need to know about fora like ss is that just about every single person that posts here thinks deep down that they are bettter than average and luckier than average at this investment gig. Not only does that mean that a fair percentage here are deluded but it also means that even most who are not so deluded ie they are actually better and luckier at investing that average, have simply made a lucky guess that they are better and or luckier than average. (I accept that there are some here no doubt that are brutally honest with themselves about their abilities and performance and can provide evidence that they are indeed in the top 50% of successful investors).

 

Here is some bloke's take on playing the percentages. For the better than average investor it probably does not make sense, but for the average or below average punter it is probably a safe way to put a foot into the world of investing.

 

http://monevator.com/the-facts-of-investing-life/

 

And here is a recent interview of Jack Bogle who decades ago crunched the numbers and showed that on average investors do worse than average (allowing for transaction costs) and who was able to turn that that discovery into a trillion dollar index fund industry.

 

 

You might also want to read some of the books that Mr Bogle has penned. Also there are a few decent books around about probability and randomness, and imo if you don't gave a good grasp of probability then you are (likely) at a distinct disadvantage in the investment game.

 

You might want to try these ones:

 

http://www.nytimes.com/2008/06/08/books/re...n-G-t.html?_r=0

 

http://www.amazon.com/Fooled-Randomness-Hi...s/dp/0812975219

 

Also you might want to get some idea about behavioural economics and how people sometimes acts irrationally. Daniel Kahneman is the acknowledged leader in developing this area of thought.

 

http://www.amazon.com/s/ref=nb_sb_ss_i_1_2...tripbooks%2C370

 

And the final point I'd make is that investing can be a great interest to keep you entertained. Just as catching fish is not usually rated by recreational fishermen as the main attraction for recreational fishing I suspect that for some who dabble in investing do so for the thrill of the chase (almost) as much as for making a killing.

[wolverine]

I am a better than average bullshitter...

 

...I have the runs on the board all in black and white here at SS.

[arty]

I am a better than average bullshitter...

 

...I have the runs on the board all in black and white here at SS. http://www.sharescene.com/style_emoticons/default/laugh.gif

 

LOL Wolver;

I'm sure the first assertion puts you in the top 95% of SS posters; and if the second assertion was really and honestly true, you'd most likely be among the (estimated) 2% of traders that consistently outperform inflation.

 

I've had my red years too, but I'm learning.

I also appreciate triage's list of reading material; shall use it myself to refresh my memory.

[tekkado]

Thanks for that triage. I'm hoping to make a little on the side while studying

Also with investment properties who are the best people to talk to about money, tax, and everything an accountant? The bank?

[tekkado]

Thanks for that triage. I'm hoping to make a little on the side while studying

Also with investment properties who are the best people to talk to about money, tax, and everything an accountant? The bank?

[balance]

Talk to your accountant about property. He / she should have good knowledge of your financial situation, earnings. Need to chat about your lifestyle, goals, commitments etc considering that direct property is quite a large expense. You can buy property indirectly on the ASX or via an unlisted fund for a smaller outlay in one investment vehicle. Banks can be biased in their advice as they will try to sell their products or funds.

Despite what they say about themselves here, the guys commenting are amongst the best here.