Philip Chute is a tax and financial adviser with years of solid financial planning expertise, and this book is his attempt to share some of that expertise with the general public. It is certainly comprehensive, covering everything from ordinary common stock to virtual currencies, government bonds to low-income housing tax credits, prenuptial agreements to charitable foundations. He explains what each option is, what the legal requirements for it are, who may sell it to you, who should consider buying it, what the risks and potential payouts are, and what the tax consequences are for each. He is quick to show the reader how their interests might conflict with those of the person who may be trying to sell them a particular option, and offers some useful guidance throughout about how to tell when you’re being sold a bill of goods.
This is an extremely thorough reference, and naturally not every investor will be interested in every single option, but since the book is well-indexed and organized by investment type, it’s easy enough to go straight to the chapter that focuses on the investment under consideration. The organizational structure of the book is reasonably sound as is, but might be improved a bit by organizing the subsections in each basic category by factors more relevant to the individual investor’s circumstances, such as risk tolerance, expectation of return, or the purpose of an investment (whether, for example, the investment is aimed at making a quick buck for the day trader, to provide passive income for an investor over a period of time, or to be bought early in one’s adult life and held onto to secure a later retirement).
The author has a wry sense of humor that lightens the heavy subject matter a bit, and he writes in a fluid and straightforward fashion, although sometimes he uses a bit more financial jargon than the ordinary reader can keep up with without a glossary (which is handily provided in the back of the book). His use of Success and Horror Stories give personal, real-world examples, and the Pro and Con tips at the end of each chapter offer a clear summary of the chapter’s most important points. The book might be improved by an edit for language clarity and to clear up some of the typos and grammar errors scattered throughout – these are not severe, but do detract a bit from the book’s otherwise professional style. All in all, however, this is a useful resource for the educated layperson seeking to improve his or her knowledge of investments and investment planning, and to be able to clearly and objectively evaluate offers of investment options made to them by eager salespeople.
STOCKS, BONDS & TAXES offers useful advice on a wide range of investment options, with thorough explanations of the laws, regulations, tax consequences, and risks of each.
~Catherine Langrehr for IndieReader