If you want to get better at investing your money, you’re in the right place. We’ve put together a list of the 10 best investment books you should definitely read. These books come from different times, but they all have one thing in common: they can help you become a smarter investor. Whether you’re new to investing or already have some experience, these books can teach you valuable lessons and give you the confidence to make good decisions in the world of investing. So, let’s dive into these books and start your journey to becoming a successful investor!
The Context
Never place your trust in a person who talks about investment without referencing an investing book — PlanB
Everyone has experienced the wonderful sensation of holding a book in their hands.
Whether it’s a thoughtful gift from a loved one, a borrowed book from a pristine library, or a cherished family heirloom pulled from an old oakwood shelf to revisit, there’s something special about the joy of reading.
In the world of stock market publications, there are two distinct types. One caters to the scholarly minds, delving into the intricate details of fundamental analysis, while the other offers a condensed and accessible approach that appeals to individuals from all walks of life.
As advocates of minimalism, we believe in simplicity and clarity. That’s why in this post, we’ll be sharing our carefully curated list of the top 10 investment books that are not only the best in their league but also the easiest to understand. These books are written by some of the most talented and knowledgeable authors in the field, and their captivating writing style will surely capture your curiosity, even if you’re not an avid reader.
So without further ado, here’s our brand-new list of the top ten investment books that are sure to leave a lasting impression.
1. The Intelligent Investor
Securing the top spot on our list of the best 10 investment books is a true masterpiece that every stock market investor should read.
Authored by none other than Benjamin Graham, widely recognized as the greatest investment advisor of the 20th century, “The Intelligent Investor” is undoubtedly the epitome of investment literature.
A must-have for your personal library, this book is a comprehensive guide to Graham’s timeless wisdom on navigating the markets. What’s more, the prologue of the book is personally written by Warren Buffett, a source of inspiration for us at PlanB.
In “The Intelligent Investor,” Benjamin Graham eloquently lays out the principles of value investing, along with strategies for staying ahead in the markets. Written in an easy-to-understand manner, this book offers a treasure trove of financial wisdom, making it accessible even for casual DIY investors looking to mature into intelligent investors.
The first half of the book covers the fundamental concepts of the market, while the second half reveals some methods for analyzing stocks using ratios, balance sheets, cash flow, and more. With additional chapters on management, dividend policy, and intriguing case studies, the book also explores the diverse strategies of defensive and enterprising investors.
However, for first-time readers, a word of caution is to develop a basic understanding of reading financial statements to fully grasp the meaning of various line items mentioned in the book. But rest assured, “The Intelligent Investor” is a book that will undoubtedly enrich your understanding of investing and set you on the path to financial success.
2. One Up On Wall Street
The second book on our esteemed list of the top ten investment books is none other than “One Up on Wall Street” authored by the legendary American investor, Peter Lynch.
In this book, Peter Lynch challenges common misconceptions about successful investing and shows how anyone can outperform well-known investors by relying on reason and common sense as their primary analysis tools.
“One Up on Wall Street” emphasizes the importance of investing in businesses that you are familiar with. Lynch advises readers to keep things simple, rather than getting overwhelmed by analyst rankings and recommendations for complex companies that require advanced financial knowledge to understand.
For example, Lynch encourages readers to draw on their own observations and experiences, such as noticing a bustling coffee shop in their neighborhood or during a trip to a different city. This approach is how many everyday investors discovered successful companies like Dunkin’ Donuts, McDonald’s, and Starbucks.
In addition, “One Up on Wall Street” is also a delightful audiobook, particularly when narrated by Peter Lynch himself. We believe that this book is one of the most practical investment guides we have come across, as it is written in a way that is easy to grasp and comprehend.
So, if you’re looking for an insightful and accessible book on investing, “One Up on Wall Street” should definitely be on your reading list.
3. A Random Walk Down The Wall Street
Ranked at an impressive third position on our list of the top ten investment books is “A Random Walk Down Wall Street” by Burton Malkiel.
This book is often recommended by finance lecturers as a great starting point for learning about finance and understanding how markets function. It provides a comprehensive introduction to the investing process and dives into the question of whether consistently outperforming the market is feasible.
“A Random Walk Down Wall Street” also instills a healthy dose of skepticism towards financial service providers, including fund managers, and offers practical advice on how to navigate challenging financial situations.
Malkiel’s book covers a wide range of investment options, including stocks, bonds, money market accounts, real estate investment trusts, homeownership, insurance, and tangible assets like gold and collectibles. Through numerous examples, tables, figures, and infographics, the book offers step-by-step guidance on evaluating potential returns from different investments.
One of the highlights of “A Random Walk Down Wall Street” is its accessible language and light sense of humor, making it enjoyable for investors of any age. It avoids unnecessary complexity and confusion, making it a valuable resource for investors at all levels of expertise.
Overall, “A Random Walk Down Wall Street” is a must-read for anyone interested in understanding the intricacies of investing and gaining insights into how markets work.
4. How to Make Money In Stocks
Ranked at number four on our curated list of top ten investment books is “How to Make Money in Stocks” by William O’Neil.
This best-selling book has sold over 2 million copies worldwide and introduces O’Neil’s CAN SLIM investing system, which aims to help investors pick good stocks with ease. The book also provides tips on selecting mutual funds and ETFs for investment.
“How to Make Money in Stocks” is designed to be accessible to novice investors, providing guidance on how to make intelligent investments even if one has no prior experience in owning stocks. The book covers a range of topics, including how to read charts, how to leverage the CAN SLIM strategy, and what to look for in quality stocks.
O’Neil’s CAN SLIM investment technique simplifies the process of getting started with investing, utilizing an acronym that stands for key components of stock selection. This includes factors such as current big or accelerating quarterly earnings and sales per share, annual earnings increases, and identifying newer companies with new products, new management, and new highs off properly formed bases.
In a nutshell, “How to Make Money in Stocks” focuses on growth investing and is a valuable addition to any home library for investors seeking to learn more about this investment strategy.
5. Common Stocks Uncommon Profits
Coming in at number five on our list of top ten investment books is a must-read for all aspiring investors.
Written by Philip A. Fisher, this book offers powerful insights in non-technical language that is easy to understand for anyone.
While some of the themes covered in this book may not be entirely new after reading the first four books on our list, they are nonetheless extremely valuable and worth revisiting.
Fisher takes readers on an exciting journey through his discovery of excellent long-term investments and shares how he developed his own investment philosophy. The book also includes a crucial section on a 15-point checklist for conducting a proper “scuttlebutt” study of fresh ideas.
Whether you are a full-time investor or not, if you are serious about investing, this book is considered one of the most important reads. Fisher’s concepts are elegantly presented and timeless, as the book was written in the 1950s, and it is considered a classic that merits repeated readings.
Overall, this book provides insightful ideas in plain language that is understandable to everyone, making it a valuable addition to any investor’s library.
6. Market Wizards
At number six on our list of top ten investment books is “Market Wizards” by Jack D. Schwager.
This book stands out as an unusual addition to our list, as it focuses on the trading industry and the importance of understanding market psychology in deep value investing.
“Market Wizards” is a collection of interviews with successful traders who have achieved significant financial success through their unique approaches in the markets. The book features interviews with renowned money-makers such as Bruce Kovner, Richard Dennis, Paul Tudor Jones, Michel Steinhardt, Ed Seykota, and Marty, among others.
Considered one of the most unique and fascinating Wall Street-related books ever written, “Market Wizards” provides valuable insights from experienced traders who have achieved remarkable success. This book offers a fresh perspective on investment strategies and approaches, making it a valuable read for anyone interested in the world of trading and investing.
7. The Little Book That Still Beats The Markets
Coming in at number seven on our list of top ten investment books is “The Little Book That Beats the Market” by Joel Greenblatt. Published in 2006, this book has already gained classic status in the field of finance.
Regarded as one of the greatest New York Times bestsellers, “The Little Book that Beats the Market” has over 300,000 copies in print and has been praised by The Wall Street Journal and the Financial Times as “the best book on the subject in years.”
In this book, Greenblatt shares his methodical approach to investing, which aims to surpass the popular market averages by identifying good companies that are offered at steep discounts. He discusses the discipline required to save money, the skills needed to make money, the power of bargains, and the factors that influence financial returns.
“The Little Book that Beats the Market” also explores more mature concepts such as the importance of time, identifying market averages, the illusion of a magic formula, and market bipolarity. With its straightforward approach and valuable insights, this book is a must-read for investors looking to improve their investment strategies and achieve better results in the market.
8. Stocks For The Long Run
At number eight on our list of top ten investment books is “Stocks for the Long Run” by Jeremy Siegel. In this book, Siegel shares his legendary perspective and advice on investing in today’s ever-changing stock market.
“Stocks for the Long Run” combines a timely portrait of the current stock market with strategies, tools, and techniques that investors need to stay focused and achieve meaningful long-term stock returns. The updated print edition of the book includes references to emerging markets like India and China, which have surpassed developed markets in recent years, providing critical information on how to profit in this new environment.
The book is written in a way that is accessible for do-it-yourself investors who may not want to get bogged down by professional analysis. It contains a wealth of statistical information and is an excellent resource for clearing one’s mind and gaining valuable insights into long-term investing.
With its combination of historical data, practical advice, and relevant updates for the current investment landscape, “Stocks for the Long Run” is a must-read for investors looking to build a successful long-term investment portfolio.
9. Warren Buffett’s Way
At number nine on our list of top ten investment books is “The Warren Buffett Way” by Robert Hagstrom. While Warren Buffett himself has not written any book, this book provides valuable insights into Buffett’s investment strategies and philosophies.
Credit Wiley PublicationIn “The Warren Buffett Way,” the author distills the essence of Buffett’s strategy into nine simple principles that can be used by investors of all levels. The book covers Buffett’s numerous investments and accomplishments over the last ten years, as well as his timeless and highly successful investment strategies and techniques.
The book also shovels into the psychological aspects of Buffett’s approach, providing readers with a roadmap for mastering both the principles and behaviors that have made Buffett one of the most successful investors of our time.
With its focus on Buffett’s investment strategies, life lessons, and psychological insights, “The Warren Buffett Way” is a must-read for anyone interested in learning from the legendary investor’s approach to investing in the stock market.
10. Dhandho Investor
At number ten on our list of top ten investment books is “Dhandho: Secrets of the Road to Wealth” by Mohnish Pabrai. This book offers a unique perspective on value investing, drawing on the principles of Benjamin Graham, Warren Buffett, and Charlie Munger.
The title “Dhandho” is a Gujarati word that translates to “business” in English, and Pabrai explains how it relates to maximizing rewards while minimizing risks in wealth-creating endeavors.
The book introduces important concepts in value investing, such as the principle of “Heads, I win! Tails, I don’t lose that much!“, as well as the power of compounding, which can lead to significant results over time.
Written by a well-known value investor who follows Warren Buffett’s principles, “Dhandho” offers a unique perspective on investing and is a valuable addition to any investor’s bookshelf. In our opinion, this is a fantastic book that offers a unique perspective.
Conclusion
Investment books hold tremendous potential as self-improvement tools, empowering you to enhance your investment returns and overall financial well-being. A well-crafted book on investment intricacies can serve as a guiding compass, directing you toward the right path, but it’s ultimately up to you to take the leap of action. Not everyone may have a natural inclination towards reading, but don’t let that be an excuse to shy away from diving deeper into the vast ocean of financial knowledge. While reading books can enhance memory and knowledge retention, audiobooks offer a unique and captivating experience, allowing you to peek into the minds of renowned authors without flipping a single page.
Audiobooks are an immersive, educational, instructional, and entertaining way to learn, making them an excellent choice for those with limited time on their hands.
So, whether you prefer flipping through pages or listening to words come to life, these resources can be invaluable in your pursuit of financial wisdom and success. And that wraps up our list of the top ten must-read books in the realm of investing, offering you a treasure trove of insights and ideas to sharpen your financial acumen.
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2 Comments
Nice selection of books. I want to read them all but I do not have the patience to read 🙁
One up on Wall Street – anytime read 😉