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Tips to become financially literate?

12 replies

hoowhoo · 27/10/2022 20:04

I'm in my 30s and need to wise up. I know nothing about investing (I know enough to learn that money sitting in my account is losing me money due to inflation)

So I'd like to wise up on the stock market and pensions ect and just generally become financially literate now, to help ensure financial stability later in life.

Where would you recommend to read to get your head around it all and feel confident? I've found US stuff but I'd like more UK focused.

I follow the news closely so think I could learn and even be quite good with right understanding! (Can't do much worse than I am already 😂)

OP posts:
Iwritethissittinginthekitchensink · 27/10/2022 20:07

search Money Saving Expert and YouTube

hoowhoo · 27/10/2022 20:09

Iwritethissittinginthekitchensink · 27/10/2022 20:07

search Money Saving Expert and YouTube

I mean beyond the very obvious

OP posts:
Iwritethissittinginthekitchensink · 27/10/2022 20:09

This guy is good https://youtube.com/shorts/5FwwNFT4ioo?feature=share

nannynick · 27/10/2022 22:42

There are quite a lot of YouTube channels and Podcasts.
Meaningful Money
PensionCraft
Damien Talks Money
Sasha Yanshin
Mrs Mummypenny Talks podcast

Some money coaches post on Instagram.

TheNosehasit · 27/10/2022 23:04

It depends on what you want to know about?

Is it the basic concepts of investing in stocks and shares yourself or are you looking to invest in funds (a fund is a set of stocks/shares managed by an experienced fund manager(s))?

In general, a basic rule of thumb is that the higher the risk, the higher the potential yield (and the higher the potential loss).

At the safer end of the scale, you have things like government bonds. They're typically low yield, but very safe (until, well, things go nuts and governments have to step in to guarantee them).

At the riskier end of the scale, you have hedge funds. You've probably heard of them recently, but it's a bit like a form of gambling. You gamble on how the price might go in the future (not necessarily that it will go up). So you don't buy a share in Apple and hope that they bring out a very popular new phone from which they make billions. Like what happened with some traders making millions from betting AGAINST the value of the pound recently. Hedge funds are the ones I know least about.

Then there are things like currencies and commodities. Currency trading is commonly referred to as Fx trading. If you're in the US and you have dollars, now would be a good time for you to convert them to GBP and then if the value of the GBP rises against the dollar then you could convert them back into dollars!

I'm not in the industry but have a very basic understanding of most of the concepts. My little brain gets fried when people explain things without a diagram lol.

If you're wondering about what to invest in, if it's significant amounts, I'd put it into a fund (they vary in terms of risk/%yield). If you want to toy with buying a few things yourself, then you figure out what you think might rise in value and buy that (and sell it when it's hit the top).

Namechanger355 · 27/10/2022 23:08

If you invest in shares , could do via Hargreaves lands down - they have various how to guides: www.hl.co.uk/partners/search/how-to-select-shares-n?theSource=PCGDU&Override=1&adg=G+FSU+BEG+E+RSA+FOS&gclid=EAIaIQobChMIiJWW0LWB-wIVGuvtCh2jgQfUEAAYAiAAEgLEgPD_BwE

Investopedia website is helpful too

Rotherweird · 27/10/2022 23:14

hoowhoo · 27/10/2022 20:09

I mean beyond the very obvious

That’s a little rude! If you want to learn about pensions, the MSE forums are brilliant

TheNosehasit · 27/10/2022 23:53

I have made a few incorrect calls in the past few months and one accidental good calls and there's one that I'm sticking with until it's gone bust (which it is looking highly likely to do 😩)

Incorrect calls:

a company beginning with A, which started out selling books and now sells everything. That has fallen by about 16% since I bought some

a company which sold weapon detection products. I figured it would shoot up with the war, but I suspect it was selling weapon detectors for passengers passing through airports and not missile detection hardware 😁

Good calls:

another company beginning with A, which sells phones and stuff. It's named after a fruit beginning with A (up about 20%)

a bizarre company which has gone up by over 44% (that mofo would have earned me a fortune if I had had a fortune to begin with). And no - I'm not telling you what company it is lol. It develops air-pollution treatments or something

Bearing with this fucker:

It's a company which was/is logging essentially. Something to do with trees anyway. Long and the short of it is that they've started selling carbon offsetting. This utter ARSEHOLE of a company is in freefall however 🙄 I keep telling myself that when the oil crisis is over, then climate change will matter again and people will care about their obligations to the climate summit lol.

I've dabbled with some pharma, some oil&gas, some renewables etc. over the past few months but they didn't make or break me so aren't noteworthy

TheNosehasit · 27/10/2022 23:55

I like playing around with them. I couldn't do it as a full time job though. The fucking stress would kill me in a day!

Medee · 28/10/2022 08:39

You can try working through the YouTube videos of the Rebel Finance School (Alan & Katie Donegan). Very clear, work from basics up to investing.

HopelesslyOptimistic · 28/10/2022 20:26

Listen to Robert Breedlove & Michael Saylor talk about the sovereign individual. Bitcoin is also the future.

TheNosehasit · 28/10/2022 20:43

HopelesslyOptimistic · 28/10/2022 20:26

Listen to Robert Breedlove & Michael Saylor talk about the sovereign individual. Bitcoin is also the future.

Bitcoin seems to be one which divides people. Some say it's going to crash completely. It's not one I'm going to gamble on.

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