Found in 11 comments on Hacker News
2OEH8eoCRo0 · 2024-07-11 · Original thread
I might sound like a bad idea to hold bonds so far from retirement but it can sometimes work out better than solely index funds.

If the market crashes you'll be heavy on bonds and able to buy the dip when you rebalance.

Check this out: https://www.amazon.com/Bogleheads-Guide-Investing-Taylor-Lar...

snehesht · 2022-07-03 · Original thread
I've been reading The Bogleheads' Guide to Investing. https://www.amazon.com/dp/1118921283
akhosravian · 2022-02-02 · Original thread
https://www.amazon.com/Bogleheads-Guide-Investing-Taylor-Lar...

Basically: buy a few index funds, don’t sweat trying to beat the market, you’ll come out alright.

avn2109 · 2019-08-28 · Original thread
A bunch of people have given well intentioned but super vague answers to your question, such as "watch videos on khan academy" or "read newspapers."

These are Bad Answers and instead you just need to read and obey two books and two books only:

1) https://www.amazon.com/Bogleheads-Guide-Retirement-Planning/...

2)https://www.amazon.com/Bogleheads-Guide-Investing-Taylor-Lar...

If you do this, it will prevent you from being any more screwed than anyone else, regardless of market conditions. You will also not become flamboyantly rich overnight in the way that Crypto speculators do.

jumbopapa · 2019-08-28 · Original thread
Learn about it. I would recommend A Random Walk Down Wall Street [1] and The Boglehead's Guide to Investing [2]. They will give you a good primer, but in essence the best thing you can do it nothing at all. As you get older you'll want to make sure bonds take up a larger percentage of your portfolio, but really you're fine. The old sayings is "time in the market, not timing the market".

[1] - https://www.amazon.com/Random-Walk-down-Wall-Street/dp/03933... [2] - https://www.amazon.com/Bogleheads-Guide-Investing-Taylor-Lar...

The standard advice that is recommended for windfall recipients is to stash it in a savings account and sit on it for 3 months. The goal is to avoid making any rash decisions based on euphoria.

You can use that time to read some books on wealth management. Two classics are The Four Pillars of Investing and The Bogleheads' Guide to Investing:

https://www.amazon.com/Four-Pillars-Investing-Building-Portf...

https://www.amazon.com/Bogleheads-Guide-Investing-Taylor-Lar...

It is also a good idea to not tell anyone, unless you want to be bombarded by requests from family and friends for loans, invitations to invest in weird ideas/schemes, and so forth.

JBlue42 · 2017-11-27 · Original thread
Just a note for OP or others reading that "Bogleheads" are those that follow a certain value investing philosophy from Vanguard founder John Bogle.

For some basic investment literacy, it would not hurt to read "The Bogleheads' Guide to Investing" (https://www.amazon.com/Bogleheads-Guide-Investing-Taylor-Lar...). I've also heard good things about John Bogle's "Little Book of Common Sense Investing" but haven't read it.

nugget · 2016-07-09 · Original thread
You think there's a wizard behind the curtain but there isn't. Some counterpoints from my own experiences as a once broke, now financially successful entrepreneur:

<< The wealthy usually have an (often inherited) network of financial advisors, people investing their money, and lawyers, all of whom stand between them and bad decisions >>

More often than not these advisors and lawyers are experts at extracting outrageous annual fees in return for mediocre advice. All you need is a Fidelity account and a few index funds. If you read this book (https://www.amazon.com/Bogleheads-Guide-Investing-Taylor-Lar...) then you will be a more successful investor than the majority of wealthy white collar professionals.

<< The wealthy are typically surrounded by a culture that has always been rich, so has always been able to afford universities and good health, and so can afford to value these highly >>

Thanks to the point above, wealth (with rare exceptions) doesn't survive more than one or two generations, which would present some headwind to this second argument. I spent my childhood split between Manhattan and San Diego. Most of my friends from Manhattan are the descedants of Jews who emigated either immediately before or immediately after the holocaust, very few with any substantial assets. If by rich culture you mean a focus on education, ambition, and professional achievement, then yes, I agree with you. Most of my friends who lived in California had parents who moved there from the midwest in the 60s and 70s and struck it rich as the state was developing, and so much money was made over the next few decades that it didn't seem to matter how much you started with.

<< The wealthy are usually surrounded by other wealthy people, who are not usually expecting (justly or not) financial favors (e.g. a brother who needs medical debt paid off) >>

A wealthy social circle can trap you into a lifestyle that is extremely expensive to maintain. Only my wealthy friends call and invite me on trips that cost $10k+ per person or to fundraising dinners at several thousand dollars a plate. My ''median income'' friends are ecstatic if I pick up a couple hundred dollar bar tab. Assuming you don't allow your family to blatantly take advantage of your wealth to fuel their unnecessary consuming spending, I actually think blue collar millionaires have it ''easier'' here.

<< The psychological difference between growing up rich or working for a high salary, versus a sudden unexpected windfall our of the blue, must be immense. >>

Here I agree with you 100%. Easy come, easy go. It's hard to appreciate what you didn't work really hard for. I see this attitude among lottery winners and heirs alike.

kdamken · 2016-04-19 · Original thread
I'd recommend http://www.amazon.com/Bogleheads-Guide-Investing-Taylor-Lari...

I've recently been trying to learn more about investing and this book has been right on the money.

Basically, the advice is don't buy individual stocks, you can't pick them and outperform the market consistently. Instead, get an index fund or ETF that tracks the whole market, like https://personal.vanguard.com/us/funds/snapshot?FundId=0085&.... Vanguard is the best for index funds as they have the cheapest expense ratios.

If you want to learn more about the basics of economics, which are important as well, I've enjoyed this lighthearted youtube series - https://www.youtube.com/playlist?list=PL8dPuuaLjXtPNZwz5_o_5...

mrkurt · 2011-02-09 · Original thread
That reminds me! Anyone who cares should read the Bogleheads Guide to Investing: http://www.amazon.com/Bogleheads-Guide-Investing-Taylor-Lari...

It's a quick read and probably tells you a lot of what you already know, but it's well written and explains the basics of the various investment vehicles well.

Fresh book recommendations delivered straight to your inbox every Thursday.