Whether you’re an investor, looking to brush up on some famous names, or looking for the best “get rich quick” scheme, reading a book on investing is always a good way to start informing yourself. However, there are so many books on investing that it can be hard to determine which are useful and which are shams. Luckily, there are a few “timeless” classics published by Benjamin Graham and Philip Fisher as well as a more recently published book by Mark Matson that are great sources of information on how to invest money wisely, how much skill is involved versus luck and other important facts. Here are our recommendations:
The Intelligent Investor by Benjamin Graham
Many regard Graham as the father of value investing, so it’s easy to see why The Intelligent Investor has withstood the test of time. Written more than 60 years ago, this piece outlines the importance of finding undervalued stocks and making big purchases. According to Graham, the market will eventually reflect the true value of these stocks and you’ll reap the benefits.
Common Stocks and Uncommon Profits by Philip Fisher
This book is a great resource for anyone who is just getting started on growth investing. Like The Intelligent Investor, this book greatly influenced Warren Buffett – in fact, he claims to be made of 85% Graham and 15% Fisher. The philosophies in this book are still studied and taught today, despite being nearly forty years old. According to Buffett, “A thorough understanding of the business, obtained by using Phil’s techniques…enables one to make intelligent investment commitments.”
Main Street Money: How to Outwit, Outsmart, and Out-invest Wall Street’s Biggest Bullies by Mark Matson
Many people put too much trust into stockbrokers, according to Matson. In this book, you’ll learn how to avoid being bullied by those on Wall Street who claim to have insider advice, but really just want to talk people into buying stocks when they’re not very well educated on their purchases. This guide is easy to understand, and the wisdom is valuable for anyone who wants to feel confident about investing their hard-earned money. A few peeks at the reviews for Mark Matson and his book on Amazon will allow you to understand why people feel so strongly about this book — after all, it’s saved them from wasting thousands, or even millions, of dollars.
These are just a few of the books that are useful to both investors and students of investing. Though the books may be small, they have great wisdom to offer and are recommended reading for anyone who is about to buy stocks.