Introduction
Are you a beginner and looking out to invest in the stock market for a greater return? Well, investing and trading requires some amount of knowledge of business as well as the stock market and its ongoing trends. Knowing these stock market fundamentals are the prerequisites of trading and investment. If you google the term “Investment” you will come across some complicated financial terms. Further digging would probably make you more confused.
To learn about these financial fundamentals, it is better to read some best books for investing for beginners written by experts. These books are written in accordance with keeping beginners in mind. The thoughtful and sequential presentation of these books would not just help you to have a better understanding, but you can also use this knowledge to build the right strategy for investment. Here is the compiled list of some best books for investing for beginners. So, check them out.
The Intelligent Investor – One of the best books for investing
by Benjamin Graham
Benjamin Graham is known to be the father of value investing who was also the college professor of Warren Buffett, an American business tycoon. Published in 1949, the book is important as it talks about Graham’s popular philosophy of “value investing”. The book is divided into three parts. The first part explains the Investing approach and the last two-part deals with market behavior and risk management. Some other important investing concepts such as “margin of safety” are also dealt with precisely in this book which makes it the best book for investing in the stock market. (Source: MoneybyRamey)
One Up on Wall Street – One of the best book for investing
by Peter Lynch
For a beginner who is out to start their investment journey, this book can prove a go-to for them. This book was originally published in 1989 by Peter Lynch who is himself a successful fund manager having an annual return of 29.2%. The content of the book is quite basic and covers every aspect of investing from; how, when, where, and why to invest in a long-term investment. Stock details along with their buying approach are one of the best parts for beginners to learn. (Source: TradeBrains)
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A Random Walk Down Wall Street – A must read book for investing
by Burton Malkiel
Originally published in 1973, the updated version of the book has every piece of information related to stock market concepts. From Exchange Traded Funds (ETFs) to various investment techniques like smart beta, Burton has laid stress on efficiency and balanced portfolio management. This book is named after a popular “random walk hypothesis” which says stock market prices are random and thus it is impossible to predict the same.
How to Make Money in Stocks: A Winning System in Good Times or Bad – One of the best book on investing
by William J. O’ Neil
The book was originally published in 1988 by an American entrepreneur, writer, and stockbroker William J. O’Neil. The book specializes in seven steps for maximizing gain with a minimum risk popularly known as CAN SLIM Investing System. With the success of its previous edition, the latest edition of the book is an ideal choice for those who are new to this industry and still want to make smart investments. (Source: GoodReads)
Common Sense on Mutual Funds: New Imperatives for the Intelligent Investor – A good book for investing
by John C. Bogle
John Bogle was an investing icon who recently died in 2019, but his legacy left behind will remain alive forever. He pioneered the index fund through this book thus opening new doors for investors at a very low cost. The book has some other good topics such as tax costs and mean-reversion which makes it one of the best books for investing for beginners.
Common Stocks and Uncommon Profits – One of the best books for stocks
by Philip A. Fisher
This book is considered to be one of the best books for investing in the stock market. It was originally published in 1958 by an American stock investor Philip A. Fisher. This book teaches new investors to analyze business quality and profit generation capability.
Rich Dad Poor Dad – A must read books for investing
by Robert T. Kiyosaki
We are sure that you might get a glimpse of this book in places such as railway stations, bus stops, or crossing. Though it does not deal with hardcore stock market terms, this book is good to learn a life lesson. Robert T. Kiyosaki has beautifully differentiated between a rich father and a poor father. According to him, rich folks teach their children about money and investment that is often middle-class forsake. It stresses the importance of investment so that their assets work for them in the future.
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Stocks for Long Run – A good book on stocks
by Jeremy Siegel
First published in 1994 however the fifth edition of the book came out in 2014. Jeremy is himself a professor of finance at the University of Pennsylvania. His book specifies a long-term view of the investing market beginning from 1802 in the USA as well as some other financial markets in the world. This book has been termed as “the buy and hold Bible” because of its ability to answer most of the investing questions.
The Essays of Warren Buffet: Lessons for Investors and Managers – A must read book on investing
by Warren Buffet and Lawrence Cunningham
This book is different from other books as it is the amalgamation of various letters that Buffet wrote to shareholders over the period. These letters are in response to some world’s known investor’s investing techniques. For a beginner looking out to learn the nuances of stock marketing, this book could prove to be the best book for investing.
Irrational Exuberance
by Robert J. Sheller
Published in 2000, the book is written by an American Economist and a Nobel Prize winner Robert J. Sheller. The book Irrational Exuberance is known for evoking Alan Greenspan’s infamous 1996 statement on stock market valuations. The author in his book has also forecasted the collapse of the stock bubble due to various structural, psychological, and cultural factors. With these attributes, Irrational Exuberance is indeed one of the best books for investing in the stock market.
Learn to Earn
by Peter Lynch
Book for investing ‘Learn to Earn’ was originally published in 1995 and is considered as one of the best-known self-help books. It was written by Peter Lynch and author John Rothchild. The book deals with the basic principle of the stock market and trading. It’s easy language makes it one of the most favorable books for beginners as well as for school going students.
Market Wizards
by Jack D. Schwager
Written and edited by Jack D. Schwager who is also the managing director and principal of The Fortune Group. The updated version of the book has interviews of more than 17 successful market wizards. Their real-life anecdotes discussed in the book can help a beginner to understand the real-life business scenarios and their related challenges.
Rule #1: The Simple Strategy for Successful Investing in Only 15 Minutes a Week!
by Phil Town
Published not a long time back in 2006, this book as the title suggests talks about the first rule in the Investing world. The author of the book Phil Town has tried to suggest ways to earn millions from a few dollars in just 5 years. He was a middle class who turned into a self-made millionaire in a very short span of time. With this book, he has tried to pen down those rules and mind games that he applied to become a known and successful stock market player.
Buffett: The Making of an American Capitalist
by Roger Lowenstein
Topping in the list of bestsellers in several newspapers since its hardcover publication in 1995, this book is one of the best books for investing for beginners. The author who is also a journalist Roger Lowenstein has beautifully illustrated the personal and professional life of Billion Buffet in this book. He has mentioned about his investment strategy and trading strategy that can certainly help you get an idea for investing.
Misbehaving: The Making of Behavioral Economics
by Richard Thaler
The author of the book, Richard Thaler won the Nobel prize for economics in 2017. Richard views behavioral economics as a strong point in the Investing Industry. In his book, he opines that humans are often filled with prejudices and are not always rational, which can affect the return in many ways. Well, you may refer to this book if you have some prior knowledge about investing and stock markets.
I Will Teach You to Be Rich
by Ramit Sethi
Published originally in 2009, The New York Times called it a bestseller back then. Highly recommended for those in their late twenties or early thirties. You can use it as a self-help book and know about some investing terminologies. Long term investing goals, short term savings, and retirement accounts are some of the suggestions you can find in this book.
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Value Investing and Behavioral Finance
By Parag Parikh
This book was published in 2009 and is authored by Parag Parikh. He says smart investing requires a good understanding of behavioral finance coupled with market sentiments, the company’s performance, and current trends. This book talks about all these aspects from the Indian stock/capital market perspective. Beginners may refer to this if they are interested in knowing more about behavioral biases and their negative impact on investor’s decisions.
Bulls, Bears and Other Beasts
by Santosh Nair
This book will take you on a journey of Dalal Street of the Indian Stock market after Liberalization. You will also find a comprehensive account of the Indian Stock market in the last two and a half decades. In addition to providing suggestions on investment, Santosh Nair has also tried to give the reader an idea about some sensational event in the county. The beginners who are interested in the stock market and trading must read this book to understand the financial health of the county.
The Bogleheads’ Guide to Investing
by Taylor Larimore, Mel Lindauer, and Michael Le Boeuf
This book discusses passive investing and is pertinent to any country. A person of any age, especially youngsters, may refer to this book. People who are about to start their investing journey should definitely have a taste of this book. A good book for basic knowledge and to get some investment jargons.
Morningstar’s 30-Minute Money Solutions: A Step-by-Step Guide to Managing Your Finances
by Christine Benz
Did you go through a financial breakdown? If yes, then this book could be a great choice to bring to your benefit. Originally published in 2009, Author Christine Benz had suggested some quick and easy ways to manage funds to earn profits in the Stock market. The time-tested strategies along with some sensible ways to manage money make it one of the best books for investing in the stock market.
So, these were the best books for investing that we listed for you. If you are planning to put your foot in the stock market, then these are the best books for investing in the stock market. Therefore, will definitely help you to kickstart and stand firm in the same.