It is natural to feel overwhelmed by all the information when starting out. Specially when everybody recommends you to read 30 different things before even starting. One may get the impression that a Masters degree is a requirement to be able to grow your savings.
There are many great books about personal finance and investing. There are also thousands of blogs and sites on the topic (this site being one of them). When I have to pick a single resource, “The Boglehead’s Guide To Investing” always comes to mind:
- It discusses the behaviors necessary to be a successful investor. For example, the importance of spending less than you earn.
- It explains the fundamentals of index fund investing. Particularly why it is the recommended investing approach for most investors, differences between assets, how to do asset allocation, the importance of keeping costs/taxes low.
- It goes over all aspects of personal finance that are connected to investing: insurance, taxes, managing your emotions, emergency funds.
The book, like most widely available personal finance content, has a US focus and there will be things that don’t apply to European investors (e.g. 401k) but you can still learn many useful things from it.
The book is a great introduction and will teach you the fundamentals. It will give you a general overview of most topics you need to keep in mind. The book may not be very detailed on any given topic. But when you are done with it, you will be confident enough to ask more specific questions and know where to find the answers.