5 stock market investing book every investor should read
Books are an important part of our lives. They are full of information in the best possible way. So when it comes to investing there are also books which can help to enhance our knowledge in the terms of investing or money-making.
So here are some books on investing and the stock market :
1. Rich Dad Poor Dad
Rich dad poor dad is one of the first books one should read to get out of the mentality which has hard is the only way to earn money.
It’s a fun read which teaches how rich people teach money-making to their kids and how middle class or lower middle class misses these things.
For example how poor people spend their money and how rich people invest their money.
It would definitely change your financial viewpoint about money. A must-read.
2. How to Make Money in Stocks by William J. O’Neil
Investor’s business daily, a national publisher of daily financial newspaper founded by Bill O’NEIL created a CANSLIM method of choosing shares, where each letter in the acronym stands for a factor to look up while choosing stocks.
This book is interesting because it skips the generalities and directly focuses on the practical ideas in regard to trading stocks. Please do remember that this book is strictly targeted at American markets.
3. The Intelligent Investor by Benjamin Graham
A little dense book written by Benjamin Graham, Warren Buffet’s college professor. This book is single best book that is available for the stock market.
It is based on Graham’s popular “value investing” philosophy.
Here the idea is to keep your portfolio solid and secure by choosing the right stocks and not taking big risks in the greed of higher profits.
This book is the best go to resource for those investors for are looking for long term investment.
4. Irrational Exuberance by Robert J. Shiller
This book makes strong arguments that the perfect market theory is flawed.
The book conveys that market isn’t rational at all, but overall unpredictably irrational, which is why insane bubble and busts occur.
Professor Shiller’s writing style highly enjoyable. The plain-spoken style is smart, wry, and often witty, and there are almost no mathematical formulas, except in the occasional technical notes in back.
The book also talks about a lot of factors that are intrinsically interesting to non-economists. For example, it has chapters devoted to cultural factors in investing; the effects of the news media; “new era” economic thinking; psychological factors; psychological anchors for the market and herd behavior.
5. Stocks to Riches by Parag Parik
This book contains all the truths of stock market which are very well explained by the author.
It is written in a very simple and understandable language. This book mentions about mistakes that an amateur can make while investing in the stock market. Learning from mistakes is not applicable in the stock market as mistakes in the market do not come for free. This book is based on the Indian stock market or share market.
Investments can be confusing, so the more you know, the more you will be able to create your own investment strategy and also incorporating some good advice from the books or experts.