Plain-English investing notes, one idea at a time — every number checked against a primary source.

Start here: a reading path for complete beginners

Forty-eight short notes, read in order, take you from "what is investing?" to fees, fraud and crypto risks. Each round covers all eight topics once, a little deeper each time.

Read in order: 48 notes in six rounds, one idea each

How should you use this site?

  1. Read the notes in order

    The notes are numbered so that each one only uses ideas explained earlier. Round 1 asks the first question in every topic; later rounds go deeper.

  2. Look up words as you go

    Every technical word links to the glossary, where each term has a one-sentence definition and a small example.

  3. Check the arithmetic yourself

    The calculators show the formulas behind the examples, so you can change the inputs and see what happens.

  4. Follow the sources

    Numbers in brackets link to the regulator, statistics agency or official document behind each claim. Read our editorial policy to see how we check them.

Round 1 — the first question in each topic

  1. No. 001 — What is investing, and how is it different from saving?
  2. No. 002 — What is a stock, and what do you actually own when you buy one?
  3. No. 003 — What is a mutual fund, and how does buying one actually work?
  4. No. 004 — What is a bond, and how does lending money to an issuer actually work?
  5. No. 005 — What is diversification, and how does it lower investment risk?
  6. No. 006 — What is loss aversion, and how does it change the way people invest?
  7. No. 007 — How does the Federal Reserve set interest rates?
  8. No. 008 — What is a crypto token, and what do you actually own when you hold one?

Round 2 — how the basic pieces work

  1. No. 009 — How does compound interest work, and why does time matter so much?
  2. No. 010 — How do stock exchanges work, and what happens after you press buy?
  3. No. 011 — What is an ETF, and why does its price differ from its value?
  4. No. 012 — Why do bond prices fall when interest rates rise?
  5. No. 013 — What is asset allocation, and how do you think about your own mix?
  6. No. 014 — Why is market timing so hard, even when a drop seems obvious?
  7. No. 015 — How is inflation measured with the Consumer Price Index?
  8. No. 016 — How does a blockchain work, step by step?

Round 3 — measuring and comparing

  1. No. 017 — Risk and return explained: why higher potential returns come with bigger risks
  2. No. 018 — What is a stock market index, and how is one calculated?
  3. No. 019 — What is an index fund, and how does it track the market?
  4. No. 020 — What is a bond's yield, and how is it different from the coupon?
  5. No. 021 — How does portfolio rebalancing work, step by step?
  6. No. 022 — What is herd behavior, and how does it feed market bubbles?
  7. No. 023 — What is a recession, and what does it mean for investors?
  8. No. 024 — What is bitcoin, and how does it actually work?

Round 4 — the details that change results

  1. No. 025 — How does inflation affect your money and your investments?
  2. No. 026 — How do dividends work, and when do you actually get paid?
  3. No. 027 — What is an expense ratio, and how much does it really cost you?
  4. No. 028 — What are Treasury bills, notes and bonds, and how do they differ?
  5. No. 029 — What is dollar-cost averaging, and when does it help?
  6. No. 030 — What is overconfidence bias, and how can it cost investors money?
  7. No. 031 — Bull vs bear market: what is the difference?
  8. No. 032 — What is a stablecoin, and how stable is it really?

Round 5 — putting it into practice

  1. No. 033 — Before you invest: a step-by-step checklist for beginners
  2. No. 034 — What is the P/E ratio, and what can it tell you about a stock?
  3. No. 035 — ETF vs mutual fund: what actually differs, and does it matter?
  4. No. 036 — What do bond credit ratings like AAA and BBB actually tell you?
  5. No. 037 — What are risk tolerance and time horizon, and how do they work together?
  6. No. 038 — How do you spot the red flags of investment fraud before you send money?
  7. No. 039 — What is the yield curve, and why do people watch it?
  8. No. 040 — What are the real risks of investing in crypto?

Round 6 — costs, comparisons and caution

  1. No. 041 — How do investment fees affect your returns over time?
  2. No. 042 — Market order vs limit order: which one controls what you pay?
  3. No. 043 — How do you read a fund prospectus without getting lost?
  4. No. 044 — Bond funds vs individual bonds: which way of owning bonds fits you?
  5. No. 045 — What are volatility and drawdowns, and why do they matter to investors?
  6. No. 046 — How do you read financial news without letting it steer your money?
  7. No. 047 — What is earnings season, and how should a beginner read it?
  8. No. 048 — What is a spot bitcoin ETF, and how is it different from owning bitcoin?