The Best Investing Books For Beginners 2019
Sometimes, all you need is a good understanding of some basic rules in order to invest successfully.
Having someone offer you help when you feel everything falls apart can be really mood lifting, especially when that person is an expert in the domain. What better way to do that than through reading the books they’ve written?
Books represent an amazing information source. However, when you’re looking for the best investing books for beginners, it’s hard to figure out which one is good and actually has information that could help in the long run.
For that exact reason, this article contains a list of the best investing books, after which you can choose one or more that fit your circle of interest.
Andrew Tobias: The Only Investment Guide You’ll Ever Need
If you live in the US, this book is probably no stranger to you, especially if you’ve been in the investing world for a while. It’s been a favorite guide for those in need for over thirty years, being a good ally for more than a million readers.
Through this book, you will find out many things that could help you throughout your whole investing life. That being said, you will learn how to use your money to your best advantage in the wake of the change on Wall Street, despite the amount you own.
What’s great about this guide is that Tobias ensured he made things easy enough to understand, so nobody focuses on comprehending his tips instead of learning. As such, he uses understandable, witty and concise explanations.
So, he covers important topics in a very simple manner. For instance, he talks about how and when you can invest in stocks, how you can save more than $1,000 per year, the safest investment in the world, and the list can go on.
It’s a useful guide that can get you out of the confusion state in an instant. It can also lay down the path for you and ensure a profitable future. This makes it one of the best investing books for beginners out there.
Jack D. Schwager: Market Wizards
The most successful traders in the world can definitely teach you a thing or two about investing.
After all, they know a lot of useful information and they can tell you the key to success. With this book, this can become possible, as it has been written after interviewing the top traders of the planet.
You already know that top traders make a lot of money through deep knowledge and amazing skills. But how exactly are they able to do it? Jack D. Schwager tried to find the answer by interviewing a huge number of traders across most financial markets.
What you’re going to notice is that while most of their answers had unique and different details, all of them could be boiled down to the same main formula.
This formula is basically: solid methodology + proper mental attitude = trading success.
All in all, this book lets discover the top traders’ secrets to investing. Moreover, Schwager turns these responses into a set of principles that you can use as a guide, so you become a successful investor as well.
Besides, you will find the true stories behind popular trading coups, such as the T-bond futures trader who parlayed $25,000 into $2 billion in a day.
In addition, you can even find out about the true story behind the trader who turned $30,000 into $80 million.
Are you eager to read interviews with popular money-makers such as Richard Dennis, Michel Steinhardt, Marty Schwartz, Ed Seykota, Bruce Kovner, and more? In that case, this book is your best bet.
Roger Lowenstein: When Genius Failed
Roger Lowenstein does a great job of capturing the roller-coaster ride of the Long-Term Capital Management.
Basically, this book explains a lot of things, from the arrogance of the mathematical certainties to the way the fund was made and how investors lost their money.
Long-Term was founded back in 1993 and was said to be the most impressive hedge fund in history.
However, after only four years in which the company was so profitable and had so much success, it suffered huge losses all of a sudden.
As such, these losses jeopardized the biggest banks on Wall Street and the overall stability of the financial system.
So, this book tells the story of the rise and fall of Long-Term.
Although you may be unaware of how this book can be of help, it can show you the mistakes made by others, and how they led to a big downfall.
This way, you will know what to do and what blunders to avoid. Thus, it will create a clear path that will only bring you benefits. It’s definitely one of the best investing books that you should consider if you want to avoid fatal mistakes.
Spencer Jakab: Heads I Win, Tails I Win -Why Smart Investors Fail and How to Tilt the Odds in Your Favor
Spencer Jakab came up with a great book to shows investors their mistakes, so they know how to fix them.
Basically, Jakab is giving his readers an insight into this world, telling them how they barely know the amount of money they leave on the table.
Additionally, he talks about how the average saver doesn’t come close to earning the “average” returns found in brochures.
Americans are usually expected to be fund managers, which isn’t always the case, and it’s not as easy as it seems.
Jakab has watched his readers do the same mistakes over and over again. He talks about the usual pieces of advice that people are given, from the good ones to the worse ones.
This way, you can find out what works and what doesn’t, and you will see how to improve your skills.
According to the author, people are usually flawed by their own psychological biases, as well as the fear of missing out.
If you’re going to read this book, you will find out how to cash in on your hunch that a recession is looming, why you should never invest in companies with a X or a Z in their names, and many others.
It deserves its place on the best investing books list.
Howard Marks: The Most Important Thing Illuminated
With a 4.5-star rating on Amazon, this book is very helpful for those who want to become better investors. They can do so, by learning some tips and tricks from experts.
Basically, this book does not feature only the pieces of advice given by Howard Marks’s, but also advice from four renowned investors and investment educators.
These are Paul Johnson, Cristopher C. Davis, Seth A. Klarman, and Joel Greenblatt.
All of them give readers an insight into many concepts, such as the price/value relationship, defensive investing, “second-level thinking”, patient opportunism and others.
Additionally, the author adds his own annotations, thus expanding on his book’s original themes and issues.
If you’re looking for someone to give you valuable lessons that will come in handy in the long-run, Marks is just the right person.
He provides a lot of lessons for risk assessment, critical thinking, and investment strategy.
What’s amazing is that you can benefit from the author’s wisdom into one single book, which works for both newcomers in the domain, as well as those with experience.
This book does a great job of offering you the key to a successful investment. At the same time, it presents the disadvantages that can either destroy capital or ruin someone’s career.
Marks uses passages from his memos to illustrate his ideas and offers a lot of details on the development of investment philosophy.
Also, he gives you an insight into the volatile markets of the present. Thus, you’ll have a book that is partially creed and partially memoir, with some broad takeaways.
You’ve come here looking for the best investing books, and this one, in particular, should be of great help to you.
Best Investing Books For Beinners: Conclusion
Finding the best investing books for beginners or the best finance books is not as easy as it seems at first, because there are just too many volumes to browse and you never know which one is actually useful.
As such, this article was meant to give you a list of books to choose from, depending on your needs. This way, it’s much easier to find something that suits you, and you will spend your money wisely.
If you are curious about more fantastic finance literacy, then we recommend reading our comprehensive list of the Best Personal Finance Text Books. Personal finance is important, probably more important than any other financial literacy book.
Hopefully, this article was able to offer you an insight, and help you find a book that’s going to make you strive for the better, becoming a successful investor.