Whether you’re an experienced trader or you’re just starting out with your first investment, it always pays to have a good understanding of the rules and trends, and to keep abreast of them as they change. Tips on the techniques and insights from those investors who have excelled in the field can come in pretty handy too. Read up to find out what the ace investors in the field are doing. The best investing books in the world are a must read for anyone trying to build wealth for themselves.
Here are the best investing books that you should be reading this year:
Best Investment Books for Newbies: A Random Walk Down Wall Street
Investing doesn’t necessarily mean you devote hours each day and extensive energy and thought to manage a broad-based, extensive portfolio, and Burton Malkiel knows that. “A Random Walk Down Wall Street” is invaluable reading for those who are trying to get a handle on their first 401(k)s. First you have to learn to talk the talk, or at least understand what’s being said when someone else speaks it.
Malkiel’s book includes some handy definitions of investment terms, and it applies them to varied investment strategies geared toward different stages in life. He emphasizes long-term investments instead of get-rich-quick schemes, and the way to predict prices and avoid common mistakes.
This is a revised edition of a book that’s been around for a while. “A Random Walk” has sold more than 1.5 million copies so far.
Best Book Based On Startups: Angel: How to Invest in Technology Startups
The full title of Jason Calacanis’ book, “Angel: How to Invest in Technology Startups—Timeless Advice from an Angel Investor Who Turned $100,000 into $100,000,000,” explains why you might want to break the habit of investing in the stock market and try your hand at other types of investing.
Calacanis made his name as an angel investor in Silicon Valley, and he insists there are two ways to form money with startups. Both involve arising with something new and innovative that the general public simply can’t live without. The first way is to actually come up with an idea and create it. The second way is to provide the funds for a startup’s creation and distribution. Angel investors follow the latter, and Calacanis discusses his methods and techniques to identify startups that are worth your investment.
By reading this incredible book on investing, you can learn to think like an angel investor by investing in startups in exchange for convertible debt or ownership equity. Upon its initial release in 2017, the New York Times called “Angel” “refreshing and clarifying.”
Best Common Sense Based Investment Book: The Intelligent Investor
Benjamin Graham was a renowned professor known as the godfather of investing, and Jason Zweig writes “The Intelligent Investor,” a column for The Wall Street Journal.
One of the most unique and fresh things about this book is its lack of the cliche “anything is possible, anybody can do it” rhetoric. This book tends to take the opposite approach along with some positive reinforcement on the way. It won’t tell you ways to form millions, but rather how to not lose your shirt. The authors impart must-read basics to urge you started in investing and keep you going for an extended time, from recommended strategies and how to analyze stocks to a comprehensive history lesson on the stock market.
The first edition of this book was published by Benjamin in 1949. The legendary investor Warren Buffet has proclaimed this to be “the best book on investing ever written.”
Best Book for Conservative Investors: The Only Investment Guide You’ll Ever Need
This book has been around for over 40 years and for good reason. The Los Angeles Times says it “actually lives up to its name.” Don’t worry—it’s not antiquated with advice from the 1970s. It was recently updated in 2016 to stay pace with the present economy and trends.
Andrew Tobias doesn’t just address the wealthy investor. He offers tips and guidance for those with more limited capital, and he does it in frank, easy-to-understand, and sometimes humorous language. Andrew Tobias dedicated this book to his broker, who in his own words “from time to time made me just that.”
“The Only Investment Guide” has helped educate over 1 million readers to date.
Best Investment Book Authored by An Experienced Investor: The Little Book of Common Sense Investing
John C. Bogle is credited with creating the first-ever index fund, so he surely knew a good bit about investing. He was also the founder of Vanguard Group, and it was rumored that he and Buffett were the best of friends. The book received a ringing endorsement from Warren Buffet himself. He said that “investors large and small” should read it.
“The Little Book of Common Sense Investing: The Only Way to Guarantee Your Fair Share of Stock Market Returns” takes the surprisingly pessimistic approach compared to other investment books, calling the stock market a lose-lose proposition. Bogle then explains what he learned to turn the odds in his favor.
This isn’t Bogle’s only book, but it’s the one that manages to hide his own personal innovative techniques and truths during a relatively short and straightforward read.
Best Book Based Around Investing’s Psychology: Thinking, Fast and Slow
Daniel Kahneman can definitely claim to know a few things about thinking. He’s a psychology professor at Princeton University and knows a lot about finances, having won the 2002 Nobel Prize in Economic Sciences.
His New York Times bestseller, “Thinking, Fast and Slow,” delves into how your thought processes can affect your success in investing. Even if we don’t want to admit it, we all harbour our very own biases, subconsciously at times. Kahneman explains the way to identify your own and lock them away so you’ll make investment decisions without their input, thinking clearly, rationally, and analytically.
This book isn’t just about investing, although that’s its focus. Kahneman also explains how biases can affect our everyday lives and other financial decisions.
Best Book About Pro Level Investing: One Up On Wall Street
This book on investing should also get the award for the most exciting title of a book. “One Up On Wall Street: How to Use What You Already Know to Make Money in the Market” can help you tame the beast that is Wall Street. Author Peter Lynch says it’s not only possible for newbie investors to do as well as—if not better than—the pros, but he maintains they already have everything it takes right at their fingertips.
Lynch believes that solid investment opportunities are everywhere. They litter the ground at our feet and we just have to stop walking so fast, pause in our everyday lives, and bend down to inspect the clutter so we can pluck out the most viable options. In doing so, we will beat the pros to the punchline and obtain in on an investment before the remainder of the planet realizes its potential.
“One Up on Wall Street” has sold more than 1 million copies since its release in 2000. The New York Times says Lynch, a renowned investor in his title, is “in a league by himself.”
The Best Investment Book Overall: The Essays of Warren Buffet
In the year 2015, the fourth edition of the famous “The Essays of Warren Buffett: Lessons for Corporate America” was released. If you are still looking for a reason to read it, just know that it pays well to learn from the best. You’d be hard-pressed to name a more successful investor than Buffett, and he’s taken the time to share what he knows and has learned on the topic over the years.
The title addresses “corporate America,” but you’ll take that to incorporate shareholders. The book offers a superb explanation of the connection between corporations and their shareholders, which makes it ideal for those new to investing and those who really don’t have a handle on this yet.
This collection of essays spans more than 50 years, and they’re all related through a voice so that it might seem like you’re having a cup of coffee with the investing legend himself.