This list includes some of the biggest names in the investment world sharing their knowledge about investing so that you can invest like a professional. To a regular person new to investing, learning the ins and outs of investing can be a daunting task, but fear not, these authors explain that investing is quite simple when you get down to the basics. Each of these books was placed on the list for a reason and have each been fundamental in my growth and understanding of finance and investing in a whole. If one of the books really piques your interest and you want to buy it, I have included the links to Amazon.
Best Book for General Finance Rules
This book is newer than the rest of the books on this list, coming out in 2017 so only time will tell what its cultural importance will be in the finance world but this NY Times bestseller has already made waves in the finance world. This book is unique in the sense that it is part autobiography and part “how-to” instruction manual. Ray Dalio is one of Time Magazine’s 100 most influential people and Fortune magazine ranked the company he founded, Bridgewater Associates, as one of the 5 most important companies in America. In this book, Dalio shares his secrets and insights and explains how businesses, individuals, and organizations can adopt them, including a set of rules for applying them to investing, life, your business and your finances in general.
Best Book for Individual Stock Investing
Spoiler Alert: This won’t be the last time you see a book written by Peter Lynch on this list. Why? Because he is one of the best investors of our generation. Peter Lynch didn’t write bestselling books because he wanted the money, he wrote his books to share his dearth of knowledge about how you don’t need to work on Wall Street to get Wall Street-like returns (and he should know because he averaged a 29% annualized return while managing the Magellan fund). "Beating The Street" allows the reader to peek into Lynch's mind and thought processes in terms of deciding whether to buy or sell a stock. Lynch believes that an individual investor could exploit market opportunities better than Wall Street, and encourages investors to invest in what they know.
Best Book for Common Sense Investing Rules
John C. Bogle is the founder of the Vanguard Group and he is also credited with creating the first-ever index fund. You’d be surprised how many people on Wall Street could benefit from reading this book. John C. Bogle and Warren Buffet are very close friends and Buffet says that “investors large and small” should read it. Don’t let the name fool you, this book isn’t a “investing for dummies” type-book, this is a book that sets up the foundation for the rest of your investing career. Bogle actually does an excellent job at explaining how to turn the odds in your favor when it comes to stock market investing. This is a rather short and easy read which is why I recommend everyone read it.
Best Book for Investing like a Professional
This is the 2nd Peter Lynch book to make it on the list; and there is good reason for that – Peter Lynch is one of the best investors in history. I would place him on the Mt. Rushmore of investors right next to Warren Buffet. This book empowers the heck out of you, he gives us the tools to not only invest like a professional on Wall Street, but actually do better than them in the market. He was the founder of Fidelity investments – yes the same Fidelity you still see commercials on TV for. Not only does Peter Lynch talk the talk, he walks the walk as well because using the same techniques you will learn in the book, Peter Lynch earned an average annualized return of 29% while managing the Magellan fund.
Best Book for Building Foundational Knowledge
This book was written by Benjamin Graham, the father of value investing and is a MUST READ for anyone who wants to start investing. Although this book was written in 1949, the words of Benjamin Graham have stood the test of time through bear markets and bull markets 70 years later. Warren Buffet actually refers to this book as “the best investing book ever written.” In this book you will learn the basic rules for investing including how to be an “Enterprise investor” or a “Defensive investor.” It is my opinion that every person should read this book before they start investing. I guarantee if you were to search the internet and look up “best investment books to read”, other authors may have different books on their list but I guarantee this book WILL BE on their list.
This article has been archived from one of Ryan Cullen's previous blog website.