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Can you tell me a good, honest and simple book to read on investing?; it should have a sound investing startegy?

I have read books by Daniel Solin (really liked his), Phil Town and like 3 or 4 others. I am Currently finishing the book Jackass Investing.

Apr 05, 2013 by Matthew from Norwalk, CA in  |  Flag
16 Answers  |  18 Followers
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5 votes
Kevin J. McNab Level 19

I completely agree with Tracy. This is the exact answer I provided yesterday to a question: "I would recommend a book titled "The Investment Answer" by Goldie and Murray. Not only do they immediately answer the question you ask in a very direct way, the book also will add value in shaping some investment ideas that I believe many advisors on this forum will agree with. The book is a quick 80 page read and you can order it on Amazon for around $6 with shipping. I hope this helps."

Comment   |  Flag   |  Apr 05, 2013 from Westminster, CO

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Elliott Appel Level 11

Hi Matthew,

Besides A Random Walk Down Wall Street, I would also recommend Investment Mistakes Even Smart Investors Make and How to Avoid Them by Larry Swedroe.

I hope you find these books helpful!

Comment   |  Flag   |  Apr 08, 2013 from Seattle, WA

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4 votes

The Investment Answer by Daniel Goldie and Gordon Murray. Simple, effective concepts and an easy read.

Comment   |  Flag   |  Apr 05, 2013 from Harrisburg, PA

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4 votes
David N. Smith Level 10

The Investment Answer is a great book for advisors to recommend, because it recommends using advisors. I happen to agree with that theory, and I like that book. With that said it is a very basic book, I gave it to my son as a freshman in college. I'd need to know what you are looking for about investing before i could recommend a book. I read a book called "Abundance" recently, (can't remember the author) and after reading that I was more convinced than ever that the future holds many opportunities for investing. Keep reading.

Comment   |  Flag   |  Apr 05, 2013 from Miami, FL

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4 votes

Most what is has already been mentioned are great. Some of my favorites include:

A Random Walk Down Wall Street, by Burton Malkiel

The Intelligent Investor, by Benjamin Graham

Stocks for the Long Run, by Jeremy Siegel

The Intelligent Asset Allocator, by William Bernstein

The Richest Man in Babylon, by George Clason

Happy Reading!

Comment   |  Flag   |  Apr 05, 2013 from Bay City, MI

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4 votes
Reed Bermingham Level 18

I am a big fan of Peter Lynch's writing, reading "One Up on Wall Street," "Beating The Street," and "Learn to Earn" will give you great insight on investing from a legendary money manager with an incredible track record. He is able to personalize investing in a way that really sticks, and teaches you how to be adaptable to changing environments. Highly recommended.

Comment   |  Flag   |  Jul 03, 2013 from San Diego, CA

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3 votes

The Top 5 Investment Books Of All Time 1. The Intelligent Investor, The Definitive Book On Value Investing, Revised Edition, by Benjamin Graham, Jason Zweig and Warren Buffett This was the most read book in the office. It's considered a 'classic.' Originally written by famed value investor Benjamin Graham in the 1930s, it was updated in 2003 and 2009 by Zweig and Buffett. The revised edition now includes more up to date examples on stock investing techniques. While the book is jammed with practical information, many new investors might find it dry and intimidating. It's 640 pages long! 2. One Up On Wall Street: How to use what you already know to make money in the market by Peter Lynch Does anyone remember Peter Lynch? Peter Lynch is the former manager of Fidelity's Magellan mutual fund who rose to fame in the bull market rally of the 1980s. In the 1980s and 1990s he was one of the best known mutual fund managers in America but has since faded from view as hedge fund managers became the new golden boys. One Up On Wall Street was his first book. The original edition came out in 1989 but the second edition was revised for the dot-com boom in 2000. It incorporates his popular investment philosophy: 'buy what you know.' 3. The Essays of Warren Buffett: Lessons for Corporate America, Second Edition by Warren Buffett and Lawrence Cunningham This book contains Buffett's letters to Berkshire Hathaway shareholders over the last several decades through 2008. The letters are filled with more than just updates about the company as Buffett also shares investing tidbits and insight into his investing philosophy. This may sound like a snooze, but Buffett's folksy writing style makes it seem like he's talking directly to you. 4. The Future for Investors: Why the Tried and the True Triumph Over the Bold and the New by Jeremy Siegel Published in 2005, the book shatters the myth that investors have to be in the latest 'in' growth stock or hot IPO to be successful investors. For instance, he compares the historical returns of Exxon and IBM. IBM was the Microsoft or Apple of its time in the 1940s and 1950s. Exxon was the boring big oil company. Even though IBM was growing earnings at a faster pace, Exxon had a lower P/E and paid a larger dividend. Readers might be surprised at which company was the better long term investment. Siegel explains why dividends matter for long term investors and how a company that makes candy triumphed over all of those with the latest hot product. 5. Rule #1: The Simple Strategy For Successful Investing in Only 15 Minutes a Week! by Phil Town This book didn't gain much traction in the investing world because it was released in 2007 just before the financial crisis hit. But many here at Zacks found it especially helpful for novice investors because it lays out an investing plan. Town's strategy is to find and invest in wonderful businesses, including those with moats and other margins of safety. It incorporates both value investing principals espoused by Graham and Buffett with some technical analysis.

From Zachs'

Another book I've always loved as a starter, not so much for investment theory, but for saving, and basic budgeting, is "The Richest Man in Babylon", by George Clason. Pretty simple read, helps you to develop a basic philosophy as to the creation of all wealth. Written in the 1920's, not that much has changed.

1 Comment   |  Flag   |  Apr 05, 2013 from Springfield, MO
Matthew

I have already read the book by Phil Town to which you are referring. I found it a little gimmicky for me.

Flag |  Apr 05, 2013 near Norwalk, CA

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3 votes

Matthew - I agree with Tracy on the "The Investment Answer" and will suggest another: "Simple Wealth, Inevitable Wealth" by Nick Murray which speaks to the importance of investor's behavior once the investment strategy has been put in place. Enjoy both!

1 Comment   |  Flag   |  Apr 05, 2013 from Allendale, NJ
Tracy Scott Burke

Nick Murray's book is great as well!

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Flag |  Apr 05, 2013 near Harrisburg, PA

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3 votes
Brad Raines Level 15

I agree that "The Investment Answer" is one of the most transparent books for an investor, but I think the behavioral aspect of finance can be easily ignored. "The Behavior Gap" by Carl Richards sheds some light on the effect of our own behavior as we make investment decision.

Advisors and investors alike can be distracted by the perpetual evolution of investing strategies. Even with the perfect gameplan in place, we can counteract all of our efforts by simply ignoring the behavioral realities that exist when it comes to money.

Feel free to check out my recommended books at http://appliedcapital.com/library/. Good luck!

Comment   |  Flag   |  Apr 12, 2013 from Little Rock, AR

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3 votes
Dushyant Pandit Level 17

If you still want to add to a nice reading list suggested, you could do a lot worse than joining the Warren Buffett crowd and reading The Intelligent investor by Benjamin Graham. I read it years ago, and its concepts are still germane today.

Comment   |  Flag   |  Jun 24, 2013 from Summit, NJ

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