If you are looking for recommendations on some of the best books about investing for beginners, then this article is for you. We’ll give you 10 recommended books about investing that are perfect for those new to investing in the stock market. Use this as a buying guide to begin building your financial literacy library.
Best Investment Books for Beginners
1-The Intelligent Investor by Benjamin Graham
“The greatest investment advisor of the twentieth century, Benjamin Graham, taught and inspired people worldwide. Graham’s philosophy of “value investing” — which shields investors from substantial error and teaches them to develop long-term strategies — has made The Intelligent Investor the stock market bible ever since its original publication in 1949.”
If you are a beginning investor and have only 1 book to buy, this is the one you need.
2-The Little Book of Common Sense Investing by John Bogle
“The Little Book of Common Sense Investing is the classic guide to getting smart about the market. Legendary mutual fund pioneer John C. Bogle reveals his key to getting more out of investing: low-cost index funds. Bogle describes the simplest and most effective investment strategy for building wealth over the long term: buy and hold, at very low cost, a mutual fund that tracks a broad stock market Index such as the S&P 500.”
3-The Warren Buffett Way by Robert Hagstrom
“Warren Buffett is the most famous investor of all time and one of today’s most admired business leaders. He became a billionaire and investment sage by looking at companies as businesses rather than prices on a stock screen. The first two editions of The Warren Buffett Way gave investors their first in-depth look at the innovative investment and business strategies behind Buffett’s spectacular success. The new edition updates readers on the latest investments by Buffett. And, more importantly, it draws on the new field of behavioral finance to explain how investors can overcome the common obstacles that prevent them from investing likeBuffett.”
4-Learn to Earn by Peter Lynch
“Many investors, including some with substantial portfolios, have only the sketchiest idea of how the stock market works. The reason, say Lynch and Rothchild, is that the basics of investing aren’t taught in school. In Learn to Earn, Lynch and Rothchild explain in a style accessible to anyone how to read a stock table in the daily newspaper, how to understand a company’s annual report, and why everyone should pay attention to the stock market. They explain not only how to invest, but also how to think like an investor.”
5-Principles by Ray Dalio
“Ray Dalio, one of the world’s most successful investors and entrepreneurs, shares the unconventional principles that he’s developed, refined, and used over the past forty years to create unique results in both life and business—and which any person or organization can adopt to help achieve their goals.”
6-A Random Walk Down Wall Street by Burton Malkiel
“In a time of increasing inequality, when high-frequency traders and hedge-fund managers seem to tower over the average investor, Burton G. Malkiel’s classic and gimmick-free investment guide is now more necessary than ever. Rather than tricks, what you’ll find here is a time-tested and thoroughly research-based strategy for your portfolio. Whether you’re considering your first 401k contribution or contemplating retirement, this fully-updated edition of A Random Walk Down Wall Street should be the first book on your reading list.”
7-Investing for Dummies by Eric Tyson
“In the world of investing, slow and steady wins the race. With this mantra in mind, trusted author and finance guru Eric Tyson is back with the latest edition of the #1 bestselling book, Investing For Dummies, to help you achieve your investment goals. Inside, he offers time-tested advice on how to develop a winning investment strategy that matches your abilities with your expectations — all the while ensuring you’re slowly and steadily growing your portfolio.”
8-A Beginner’s Guide to Investing by Alex Frey
“Whether you’re a complete investing novice or just confused about all the contradictory advice out there, A Beginner’s Guide to Investing is an accessible guide to growing your money the smart and easy way. Throw away the get-rich quick schemes that never work and turn off the financial news and it’s constant noise. Whether your dream is protecting your assets in a turbulent market or growing your wealth so that you can retire in style, this book is the blueprint.”
9-Getting Started in Stocks by Michael Thomsett
“An up-to-date guide to the complex world of equities. Getting Started in Stock Investing and Trading walks investors and traders through the essential information they need to know before they decide what kind of participant they want to be in equities. The book is filled with the key strategies and tools and offers a comprehensive guide for those entering this marketplace. The author does not argue that one method is better or more appropriate than another. Rather, he reveals the various methods and lets investors decide for themselves. The book covers investment risks, value investing, market strategies, trading methods such as day and swing trading, technical indicators, and diversifying your portfolio.
10-The Rich Dad’s Guide to Investing by Robert Kiyosaki
“Investing means different things to different people… and there is a huge difference between passive investing and becoming an active, engaged investor. Rich Dad’s Guide to Investing, one of the three core titles in the Rich Dad Series, covers the basic rules of investing, how to reduce your investment risk, how to convert your earned income into passive income… plus Rich Dad’s 10 Investor Controls. The Rich Dad philosophy makes a key distinction between managing your money and growing it… and understanding key principles of investing is the first step toward creating and growing wealth. This book delivers guidance, not guarantees, to help anyone begin the process of becoming an active investor on the road to financial freedom.
Get Wisdom BEFORE You Invest
If you’re a beginning investor you may be overly anxious to invest in order to take advantage of the power of compound interest and to ‘get in the game,’ however without the wisdom to invest wisely you may end up just throwing your hard earned money away.
As King Solomon warned in Proverbs 19:2 “Zeal without knowledge is not good; don’t be hasty and miss the way.”
Instead educate yourself, get wisdom, and invest wisely by reading books like the ones you see here and of course by finding yourself a trusted financial adviser.
Then you can watch the power of time and education work to propel you to your financial goals.