Also do you have any thoughts to share regarding the ethical ramifications of investing? I’m just concerned that I’d be making profits at the expense of others,
A very basic finance book, which is also rather oldish is George Claysons: Richest Man in Babylon. It is a series of fables set in the old city of Babylon, teaching people why to save + invest in a broad sense.
To cover the ethics of investing: Imagine if you sit an hour at home doing nothing. Compare that to doing something that improves your own live like repairing something in the house, or that improves the life of someone else, like a client in your job. In the second case you did something that made a part of humanity slightly better off. If you get payed for that it is an exchange of your time and abilities against the resources of someone else, who profits from using you, and is probably as happy about the exchange as you are.
Now with the money you have the choice of either consuming it—which allows others to profit by serving you, or you can ‘invest’ it. Which means delaying your own consumption, and instead giving someone else who is in need of capital the possibility to buy an item that helps her to produce more efficiently. As a fee for your capital you either get some fixed sum, or a share of the profits, so in the end both you and the other person profit from that. That is of course a super simplified explanation of a more complicated thing.
There are companies you might not want to invest in and others that are really awesome.
A very basic finance book, which is also rather oldish is George Claysons: Richest Man in Babylon. It is a series of fables set in the old city of Babylon, teaching people why to save + invest in a broad sense.
To cover the ethics of investing: Imagine if you sit an hour at home doing nothing. Compare that to doing something that improves your own live like repairing something in the house, or that improves the life of someone else, like a client in your job. In the second case you did something that made a part of humanity slightly better off. If you get payed for that it is an exchange of your time and abilities against the resources of someone else, who profits from using you, and is probably as happy about the exchange as you are. Now with the money you have the choice of either consuming it—which allows others to profit by serving you, or you can ‘invest’ it. Which means delaying your own consumption, and instead giving someone else who is in need of capital the possibility to buy an item that helps her to produce more efficiently. As a fee for your capital you either get some fixed sum, or a share of the profits, so in the end both you and the other person profit from that. That is of course a super simplified explanation of a more complicated thing. There are companies you might not want to invest in and others that are really awesome.