Top Investing Books

One of the beautiful aspects about becoming a great investor is that you do not have to spend tens of thousands of dollars on education to do so. Actually, all it can take is some common sense and the willingness to take calculated risks. Like everything else in life, learning to invest takes time and patience, and expecting instantaneous results is not always realistic. When you become a proficient investor, you might find the process is actually quite monotonous. It is extremely rewarding however, to have the ability to put your money to work and allow yourself to generate passive income.

The books below are some of the best books available to put you in the right mindset and provide the necessary knowledge you will need to begin investing. Click on any of the books images and you will be taken to Amazon to purchase the book! Start building your investing library today!

“Rich Dad, Poor Dad” (2000) by Robert Kiyosaki

This book focuses on personal finance and teaches many new ways of structuring your life and your finances. The key lesson is the differentiation between assets and liabilities and stressing the importance of increasing your financial literacy. By far one of the most practical and insightful books on personal finance; highly recommended to anyone who does not want to stress about money.

“The Intelligent Investor” (1949) by Benjamin Graham

This book has stood the test of time and is one of Warren Buffet’s highly recommended reads. Warren Buffet described Graham as the second most influential person in his life after his father, which makes sense considering he named his son Howard (his father’s name) Graham (after Benjamin Graham) Buffet. If you’re serious about investing, this is a must read!

“One Up On Wall Street” (1989) by Peter Lynch

Peter Lynch is our favorite investment manager for two reasons. Firstly, his performance speaks for itself as a single share of his fund increased 900% in 13 years or 29.2% annually; surpassing the market by 13.4% annually. Need I say more? The second reason is how simply he breaks down financial concepts and explains them so that ordinary people can understand them. This is the number one book we would recommend for any beginning investor, no degree required!

“Beating The Street” (1994) by Peter Lynch

Another great easy-to-understand book by Peter Lynch! He helps you define a strategy, pick the right stocks, and discusses advantages that the individual investor has over institutional ones. Great book for DIY investors and stock pickers.

“Common Stock And Uncommon Profits” (1957) by Philip A. Fisher

A Warren Buffett recommended read, which is more geared towards growth investing. Fisher advises to read beyond information from published sources and dive into the “business grapevine” by speaking to management, competitors, suppliers, and customers to gather information about a stock. Fisher’s checklist approach to investment selection is extremely valuable in understanding what drives a company’s success.

“How To Make Money In Stocks” (2009) by William O’Neil

The founder of investors.com, William O’Neill wrote this book which studied the greatest winning stocks of all time. This book breaks down the “CANSLIM” methodology which reveals the seven common traits that make a stock successful. We have a video review of this methodology as well, which can be accessed with this link: https://www.youtube.com/watch?v=66XFXqh_5N4

“Irrational Exuberance” (2000) by Robert J. Shiller

A New York Times bestseller written by Nobel Prize-winning economist Robert Shiller, who warned of both the tech and housing bubbles, cautions that signs of irrational exuberance have increased since the 2008-2009 financial crisis. Irrational exuberance refers to investor enthusiasm that drives asset prices up to levels that are not supported by fundamentals. Shiller argues that psychologically driven volatility is an inherent characteristic of asset markets. Asset classes will become overvalued, sometimes massively, and investors can use long-term historical data to monitor the market for these scenarios. Conversely, the same data may be used to signal when investors can expect strong future returns (such as at the bottom of a recession). This book is a great read because investing into “bubble” scenarios is a never a good idea, however it is very difficult to recognize a bubble when you are in the middle of one and reaping the short-term benefits.

“The Millionaire Next Door” (1996) by Thomas J. Stanley Ph.D, and William D. Danko Ph.D

When Thomas Stanley and William Danko sought out how people become wealthy, they went to find people you’d expect; those who live in upscale neighborhoods and drive luxury cars. What they found was that those who lived in upscale neighborhoods actually do not have that much wealth. 66% of people who drive cars worth more than $70,000 are actually not millionaires. Full of real life stories and statistical evidence, “The Millionaire Next Door” shows that the majority of millionaires in our country, live in middle class neighborhoods, while living well below their means.

Thanks for looking at our list of our favorite investing books! We hope this list helps provide you with a foundation of knowledge to needed to jumpstart or improve your investing journey. Please be sure to SUBSCRIBE to our newsletters to see which stocks we own and how we pick them!