I obviously write a lot about dividend investing on this blog because this is what I do. I also have this recurring discussion with my best friend who rather prefers a mix of ETFs and Dividend Stocks as opposed to a nearly “perfect” dividend portfolio. I guess there will always be this battle between capital growth and dividend growth as well as asset diversification vs sector diversification (I told you I don’t like bonds, right?).
I’ll leave these debates for another day. Today, I want to introduce you to ETF investing. While I would rather pick dividend stocks, I think that ETF investing is definitely an interesting investment strategy. When I bought this blog back in 2010, one of my first objectives was to offer the best information about investing. My goal is to bring everybody’s investment knowledge to a higher level, regardless from where you start. I think I’ve succeeded in this mission with my Dividend Investing eBook. However, this book only gives you the basics if you want to start a dividend portfolio. You don’t get much info on other types of investing.
This is why I was so happy to find a similar format of eBook for ETF investing! This eBook has been written by my fellow blogger Teacher Man (TM) at My University Money (you can download the eBook for free here!). I’ve suggested that he request that people sign-up for his newsletter prior to downloading the eBook ;-).
When TM sent me his eBook the first time, I was very happy to read something as clear and interesting for ETF investing. His eBook is clearly for investors that would like to learn the basics about ETF investing. If you have been interested by the whole “coach potato portfolio” formula, this book should be your #1 read.
Here’s what is being covered:
Chapter 2: My Story
Chapter 3: What the Heck is ETF?
Chapter 4: Why Most People Can’t Beat The Average and Why You Shouldn’t Try
Chapter 5: Why ETFs Kick Mutual Funds’ Butt!
Chapter 6: What ETFs Belong In My Portfolio
Chapter 7: Exotic ETFs
Chapter 8: Potential Drawbacks of ETF Investing and How To Minimize Them
Chapter 9: Getting Started With ETFs In 99
As you can see, you are going from the basic definition of an ETF to an example of an ETF portfolio. I find it very interesting that TM talks about the pros and the cons of ETF investing. Unfortunately, nothing is perfect on the stock market and it’s important to understand why ETFs are not perfect.
ETF investing is for the following investors:
– You don’t want to bother stock picking
– You like a coach potato approach
– You don’t like analysing 10 stocks before buying one
– You are more oriented on asset allocation than playing with sectors
– You hate fees
So if you recognize yourself in there, click here and can download the eBook for free here