Investing for Dummies

Build an investment portfolio and watch your returns multiply

Investing can be one of the quickest ways to make money, but if you think investing is only for the super–rich, think again. Whether you want to invest in shares, property, bonds or other assets, this friendly guide enables you to make sound and sensible investment choices, whatever your budget.

So if you're looking to get a first foot on the ladder or want to add to a brimming portfolio, this updated edition provides you with the expert advice you need to make successful investments.

• Get started take your first steps on the money trail with some investment basics

• Build your portfolio follow expert advice on investment options

• Invest wisely find out how to minimise the risk of investment gambles

• Look ahead examine the markets to decide which investment will net you a fortune in the year ahead

• Broaden your horizons start looking further afield and get the lowdown on more exotic investments

Open the book and find:

• How to square off risks with returns

• A step–by–step breakdown on how the stock market works

• Techniques for examining investment–linked insurance plans

• Advice on choosing an independent financial advisor

• Why investing in your pension is so important

• A guide to banking on bonds

• Guidance on coping with the fall–out of the financial crisis

• Ways to analyse stock–market–quoted companies

Introduction 1

Part I: Investment Basics 7

Chapter 1: First Steps on the Money Trail 9

Chapter 2: Checking Your Personal Life Before You Invest 25

Chapter 3: Recognising What Makes an Investor Tick 35

Chapter 4: Squaring Risks with Returns 45

Chapter 5: Being Aware of Small Print and of Print that Isn t There 59

Part II: Shares and Bonds 71

Chapter 6: Comprehending How Stock Markets Work 73

Chapter 7: Taking the Catwalk Route to Investment Success 91

Chapter 8: Investing in Markets 105

Chapter 9: Analysing Stock–Market–Quoted Companies 121

Chapter 10: Banking on Bonds 141

Chapter 11: Building Your Information Bank 157

Chapter 12: Choosing a Stockbroker or Financial Adviser 171

Part III: Collective Investments 185

Chapter 13: Getting Into Unit Trusts 187

Chapter 14: Looking at Fund Management 203

Chapter 15: Pooling Funds via Investment Trusts 219

Chapter 16: Taking Control of Your Pension 229

Chapter 17: Hedging Your Fund Bets 243

Chapter 18: Investing at Random and with the Intellectuals 253

Part IV: Property and Alternatives 263

Chapter 19: Investing in Bricks and Mortar 265

Chapter 20: Delving into Exotic Investments 281

Part V: The Part of Tens 295

Chapter 21: Ten Tips for Finding a Good Adviser 297

Chapter 22: Ten Helpful Hints for You 305

Index 309

Tony Levene has been a financial journalist specialising in investment and consumer issues for the past 35 years. He was a member of the award– winning Guardian Money team for 11 years. He has worked for The Sunday Times, The Sunday Express, The Daily Express, The Sun, The Daily Star and The Sunday Mirror and has published 10 other books on investment, finance and tax.