The 70-page booklet:
- discusses why individuals should invest regularly and explores the differences between saving, investing, and speculating,
- covers how the selected economic indicators, inflation, and Federal Reserve affect the market and provides an overview of the major market indices, stock exchanges, and market cycles,
- provides information on the benefits of diversifying a portfolio across stocks, bonds, and cash investments and how to allocate assets among the three major asset classes, and
- details the advantages and disadvantages of mutual funds, and offers guidance on how to choose a mutual fund based on an investor’s goals, costs, and risk tolerance
To obtain a free copy of Investment Basics, investors can call (800) 818-0084 or visit Vanguard’s Web site .