During the financial crisis of 2008, things got scary. Large Wall Street firms were going under, stock prices were plummeting, and layoffs and unemployment rates were soaring. And all this was happening in the midst of the 2008 presidential election. Talk of another Great Depression was in the air. In fact, polls showed a majority of Americans feared that another depression was actually happening. Housing prices were dropping sharply in most communities, and more and more properties were ending up in foreclosure.
Investing didn’t seem so fun anymore. However, even though the downturn was the worst in decades, it had similarities to prior downturns, and people who kept their sense of perspective have enjoyed tremendous returns since the market bottom.
I know from working with people of modest and immodest economic means that the time-tested ways they increase their wealth are by doing the following:
This book explains each of these wealth boosters in detail. Equally if not more important, however, is the information I provide to help you understand and choose investments compatible with your personal and financial goals.
The best investment vehicles for building wealth — stocks, real estate, and small business — haven’t changed. But you still need money to play in the investment world. Like the first edition of Investing For Dummies, the seventh edition of this national bestseller includes complete coverage of these wealth-building investments as well as other common investments, such as bonds. Here are the biggest changes in this edition:
To build wealth, you don’t need a fancy college or graduate-school degree, and you don’t need a rich dad (or mom), biological or adopted! What you do need is a desire to read and practice the many simple yet powerful lessons and strategies in this book.
Seriously, investing intelligently isn’t rocket science. By all means, if you’re dealing with a complicated, atypical issue, get quality professional help. But educate yourself first. Hiring someone is dangerous if you’re financially challenged. If you do decide to hire someone, you’ll be much better prepared if you educate yourself. Doing so can also help you focus your questions and assess that person’s competence.
Every book is written with a certain reader in mind, and this book is no different. Here are some assumptions I made about you:
If one or more of these descriptions sound familiar, you’ve come to the right place.
Throughout this book, icons help guide you through the maze of suggestions, solutions, and cautions. I hope the following images make your journey through investment strategies smoother.
In addition to the material in the print or e-book you’re reading right now, this product comes with some access-anywhere goodies on the web. At www.dummies.com/extras/investing, you can find a variety of helpful articles on topics such as ways to evaluate your current investments, tips for investing in real estate, myths about entrepreneurship, and ten common investing mistakes to avoid. Check out the free Cheat Sheet at www.dummies.com/cheatsheet/investing for a whopping 20 rules to keep you on the path to successful investing.
If you have the time and desire, I encourage you to read this book in its entirety. It provides you with a detailed picture of how to maximize your returns while minimizing your risks through wealth-building investments. But you don’t have to read this book cover to cover. If you have a specific question or two that you want to focus on today, or if you want to find some additional information tomorrow, that’s not a problem. Investing For Dummies, 7th Edition, makes it easy to find answers to specific questions. Just turn to the table of contents to locate the information you need. You can get in and get out, just like that.
If you’re the kind of reader who jumps around from topic to topic instead of reading from cover to cover, you’ll be pleased to know that this book has a helpful index that points out the pages where investing terms are defined.