Table of Contents Introduction - Why People invest Chapter 1 - The relation between Risk and Return Chapter 2 - Most common types of investment Chapter 3 - Diversification is for idiots, or not? Chapter 4 - Value investing Chapter 5 - Theory of portfolio optimization Conclusion Author bio Introduction - Why people invest? Investing simply means putting your money to work for you. The reason why people invest is pretty obvious - to get rich(er). Arnold Schwarzenegger once said that money does not make people happy. According to what he said, he has over $50 million, but he is just as happy as he was when he had $48 million. Now that is easy to say when you have that much money right? Most of the people that think that the rich are lucky. But that's wrong. Most of the rich people actually earned their money. They found what they are good at, they used their skills and qualities and earned the money. Being rich does not mean that you are lucky. It means that you have found out how to use what you are good at to make money.