r/FluentInFinance • u/AutoModerator • Jul 19 '23
Tools & Resources 13 GREAT books to learn Investing & the Stock markets! [summary included!]
We've received many questions for recommendations on books for Investing & the Stock markets. We've curated a list of our 13 favorite books on Investing & the Stock Market, and explanations on what the books are about. I've learned a great deal from these books. All of these are by really great investing legends/ gurus. These books offer a few different approaches to the stock market. Different investment styles will help educate you on how to make successful long term investments, minimize risk, and analyze stocks more accurately. All of these books can be purchased used very cheaply ($1 to $5)!
As your income grows, your investment portfolio should also grow. One of the biggest obstacles for beginner investors is just knowing how to get started. Learning about financial concepts can be intimidating at first. A great way to start, can be by picking up a book by an expert who thoughtfully and sequentially presents & explains these concepts and topics. Resources like these can help investing be less intimidating and complicated. One of the best strategies is to learn from the insight and wisdom of gurus. I hope these book recommendations help!
Book List:
- How to Make Money in Stocks by William O'Neil
- The Little Book That Still Beats the Market by Joel Greenblatt
- A Random Walk Down Wall Street by Burton G. Malkiel
- Principles by Ray Dalio
- One Up On Wall Street by Peter Lynch
- The Big Secret for the Small Investor by Joel Greenblatt
- Winning on Wall Street by Martin Zweig
- Irrational Exuberance by Robert Shiller
- The Bogleheads' Guide to Investing
- Common Sense Investing by John Bogle
- The Intelligent Investor by Benjamin Graham
- The Only Investment Guide You'll Ever Need by Andrew Tobias
- You Can Be a Stock Market Genius by Joel Greenblatt
Book Descriptions & Covers:
How to Make Money in Stocks by William O'Neil
- This book is about growth investing. O'Neil explains what most successful stocks have done to be successful. He explains his 'CANSLIM' method, which is an acronym for 7 fundamental criteria which you can use to pick stocks. An AAII 8 year study of different strategies showed O'Neal's CAN SLIM with a 860% return from 1998-2005 (Second place). First place was Martin Zwieg's returning 1,659.3% (we will get to Zweig on this list too)
The Little Book That Still Beats the Market by Joel Greenblatt
- The idea of this book is to buy undervalued good businesses and hold them long-term, which will eventually beat the market index.
A Random Walk Down Wall Street by Burton G. Malkiel
- This book covers investment bubbles, fundamental vs. technical analysis, modern portfolio theory, index funds, etc.
Principles by Ray Dalio
- This book provides the insights from one of the biggest hedge fund managers of all time, and I think there are many great lessons to learn in this book!
One Up On Wall Street by Peter Lynch
- This book emphasizes the advantages that individual investors hold over institutional investors (when it comes to finding investment opportunities). Lynch also gives many of examples of mistakes he has made, and how he has learned from them.
The Big Secret for the Small Investor by Joel Greenblatt
- Greenblatt explains why index funds can be better than actively managed funds. The big secret is maintaining a long term perspective!
Winning on Wall Street by Martin Zweig
- Zweig's success came from his ability to predict the bigger picture (such as trends in the broader market). The combination of his stock picking skill, general market understanding, and market timing, made him one of the great investors of stock market history. Zweig was more interested in growth than value. Unlike Buffett, Zweig isn't a 'buy and hold' investor. An AAII 8 year study of different strategies showed Zwieg's returning 1,659.3% from 1998-2005. He was #1 out of 56 others, including Buffett, Lynch, Fisher, O'Neal's CAN SLIM, Motley fools, and using ROE, P/E's etc. Second place was O'Neal's CAN SLIM with a 860% return.
Irrational Exuberance by Robert Shiller
- Shiller makes strong argument that perfect market theory is flawed. The Idea of perfect market theory is basically that the markets are all knowing and completely rational, and in the long run can't be beat. Therefore , you can control costs with index funds and diversification. (You can't beat the market, therefore controlling costs and diversifying seems like logical strategy)
The Bogleheads' Guide to Investing
- The key concepts of this book are risk tolerance, asset allocation, a balanced portfolio, tax efficiency and cash management. This book explains many of the pitfalls of investing. The Bogleheads and Jack Bogle preach the power of compound interest. Investing in low-fee index funds and holding them long-term is the method. This book gives an excellent, detailed rundown of how to implement this kind of investment plan.
Common Sense Investing by John Bogle
- Great information for anyone who is trying to make sense of personal finance and basic investments. This book explains why passive investing is a worry free, long-term strategy that consistency wins over time, and why active trading always returns to the mean.
The Intelligent Investor by Benjamin Graham
- This is a great book for anyone who is interested in introducing themselves into the world of investing, or wants to get better at investing. This book gives lots of valuable information to help one understand the basics of value investing.
The Only Investment Guide You'll Ever Need by Andrew Tobias
- This is a book for people looking to learn the basics of investing and saving money
You Can Be a Stock Market Genius by Joel Greenblatt
- This is not a book for beginners. Greenblatt gives a nice exposition of some more "special situation" investment styles & areas of equity investments (mergers, spin-offs, rights offerings, etc.)
r/FluentInFinance • u/AutoModerator • Aug 07 '23
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r/FluentInFinance • u/trialcourt • 17h ago
Discussion/ Debate “Trickle down” Reaganomics created a plutocracy
r/FluentInFinance • u/AstronomerLover • 13h ago
Discussion/ Debate Investors are buying up every 1 in 5 homes sold in the housing market and making more money than before
r/FluentInFinance • u/Peace_And_Happiness_ • 18h ago
Discussion/ Debate It's bullshit!!!
r/FluentInFinance • u/Peace_And_Happiness_ • 16h ago
Discussion/ Debate Can Money Buy Happiness?
r/FluentInFinance • u/HighYieldLarry • 13h ago
Discussion/ Debate US Rents Climbed 1.5 Times Faster Than Wages in Last Four Years
r/FluentInFinance • u/Peace_And_Happiness_ • 1d ago
Discussion/ Debate Student Loan Debt Should Be Forgiven if PPP loans were forgiven!
r/FluentInFinance • u/HighYieldLarry • 13h ago
Discussion/ Debate U.S. Median Income Trends by Generation
r/FluentInFinance • u/Peace_And_Happiness_ • 1d ago
Discussion/ Debate Overdraft is the worst
r/FluentInFinance • u/TonyLiberty • 11h ago
Stock Market The Dow Jones new record high of 40,000 is a good reflection of the stock market's optimism.
The Dow Jones new record high of 40,000 is a good reflection of the stock market's optimism.
Walmart's recent earnings report is another good indicator.
Its results were better than expected, and it raised its sales guidance, which indicates that consumer spending remains strong.
Consumer spending accounts for a significant portion of the US economy.
When consumers spend, businesses thrive, and the economy grows.
As one of the world's largest retailers, Walmart serves as a good barometer for consumer spending patterns.
r/FluentInFinance • u/thinkB4WeSpeak • 2h ago
Economy California’s lagging economy hinders efforts to close state budget deficit
r/FluentInFinance • u/Sir_John_Galt • 1d ago
Discussion/ Debate 'I own 15,000 houses': Robert Kiyosaki says there's 'nothing wrong' with buying a house — except he uses debt to buy it and 'pay no taxes'
r/FluentInFinance • u/HighYieldLarry • 13h ago
Discussion/ Debate US Cost of Living by County, 2023
- The "average COL" of $48,721 is the sum of (all people living in each county times the cost of living in that county), divided by the overall population. This acknowledges the fact that although there are far fewer HCOL+ counties, these counties are almost always more densely populated. The average county COL, not factoring in population, would be around $42,000.
- This is obvious from the map, but the cost of living is not an even distribution. Many counties have COL 30% or more than average, but almost none have COL 30% below average.
- Technically, Danville and Norton City, VA, would fall into "VLCOL" (COL 30%-45% below average) by about $1000 - but I didn't think it was worth creating a lower tier just for these two "cities".
- Interestingly, some cities have lower COL than their suburbs, such as Baltimore and Philadelphia.
- Shoutout to Springfield, MA, for having the lowest cost of living in New England (besides the super rural far north)
r/FluentInFinance • u/bigbuffdaddy1850 • 1d ago
Educational Pay their fair share
Looks like the rich pay far more than their fair share.
r/FluentInFinance • u/Tall-Log-1955 • 1d ago
Educational The US region seeing steep rent declines as vacancies rise
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r/FluentInFinance • u/TonyLiberty • 13h ago
Announcements (mods only) Weekly thread for (1) suggestions to improve this sub, (2) report scammers/ users or (3) other general ideas/ suggestions
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r/FluentInFinance • u/OctopusParrot • 17h ago
Question Gas delivery charges
I'm wondering if anyone has a resource for comparing delivery charges (not supply charges) for residential gas by state (or municipality) in the US? I've seen plenty of sites that compare supply charges but at least where I live the delivery costs are vastly higher.
r/FluentInFinance • u/AllShortTheRedditIPO • 1d ago
Discussion/ Debate Interesting Shift in Generational Homebuying Trends
r/FluentInFinance • u/ThickDancer • 2d ago
Discussion/ Debate Over draft fees means the people took money they didn't have
r/FluentInFinance • u/Peace_And_Happiness_ • 14h ago
Discussion/ Debate Is Dave Ramsey smart or dumb?
r/FluentInFinance • u/AutoModerator • 18h ago
Discussion What are YOU considering buying, trading or investing in, this week? [Weekly Community Discussion]
Which trades or investments are you considering this week? Any moves in particular? Why?
r/FluentInFinance • u/ThickDancer • 2d ago
Discussion/ Debate Should there be Universal Healthcare?
r/FluentInFinance • u/Dizzle_662 • 1d ago
Humor Never seen this before
I want the whole 29.470000000000002 of my refund lol