Recently, a friend asked me for advice on investing. This happens frequently. After writing about money for twenty years, people seek my advice on a variety of subjects. I used to provide detailed answers when people asked me questions. Nowadays, I direct them to existing tools and resources.
- When young people want help with money, I tell them to pick up a copy of Ramit Sethi’s I Will Teach You to be Rich.
- If somebody asks me about frugality, I direct them to The Complete Tightwad Gazette by Amy Dacyczyn.
- For those struggling to get out of debt, I recommend Dave Ramsey’s The Total Money Makeover (with caveats).
- If I meet somebody interested in early retirement, I introduce them to Vicki Robin’s Your Money or Your Life — or send them to my own audio course about financial independence.
And for investing advice? Really, there’s only one source I recommend: J.L. Collins. The advice Collins offers — passively invest in low-cost index funds — is neither new nor revolutionary. What sets Collins apart is his delivery. His presentation of this information is clear, concise, and comprehensive.
When my friend asked about investing recently, I sent her this hour-long video of Collins explaining his philosophy for the folks at Google.
That’s everything anyone needs to know about how to invest successfully. But if I feel like a person needs a deeper dive, I’ll direct them to Collins’ book, The Simple Path to Wealth (print, audio), in which he’s able to provide more detail. (And for the deepest dive of all, I suggest people read Collins’ blog.)
Too many people try to overcomplicate investing. Too many people pay others to provide subpar investment results. This really is something you can do yourself — and the map laid out in The Simple Path to Wealth offers clear instructions for how to achieve your investing goals.