Rarely if ever do I talk about the Top Investment Books on the blog. I don’t know why I don’t but its an important topic and one worth spending time on here. Reading for me is not so much a hobby as it is a yearning to understand more about trading, investment, wealth management, etc. I don’t read “for fun” per say but I do enjoy reading a good investment book. Some of the coaching students know that I have been known to re-re-re-read books over and over again until I completely understand the concept…that’s just how I work.
With the holidays right around there corner, here are a couple of my Top Investment Books – in no particular order – that you could add to your own list (feel free to add your own to the comments section too…who know’s, maybe Santa Kirk will get someone a book for the Holidays!)
- “The Warren Buffetts Next Door” (John Wiley & Sons, 2011) – Forbes editor Matthew Schifrin profiles 10 individual investors whose performance has greatly exceeded that of the broad market averages. What separates each of these investors is their willingness to analyze individual securities, as opposed to following the crowd.
- “The Intelligent Investor” (HarperBusiness, 2003) – This other masterpiece by Benjamin Graham was written with the individual investor in mind. In this easier-to-read book, Graham provides guidance for creating a portfolio, including suggested upper limits for valuation ratios
- “Reminiscences of a Stock Operator,” (Edwin Lefèvre, 1923) – This is the fictionalized life story of legendary trader Jesse Livermore, known as the “Boy Plunger.” Although many of the references might be dated (Anaconda Copper is no longer the world’s fourth-largest company), the essentials of speculation and market dynamics have remained unchanged in nearly 100 years.
- “Market Wizards,” in which Jack D. Schwager interviews top futures traders, spawned two subsequent books, “New Market Wizards” (1992) and “Stock Market Wizards” (2001) and remains near the top of the financial bestseller list nearly 20 years after it was published. Thousands of traders have gleaned knowledge from the strategies of Ed Seyokta, Michael Steinhardt and other legends profiled.
- “The Complete Guide to Options Selling: How Selling Options Can Lead to Stellar Returns in Bull and Bear Markets” by James Cordier and Michael Gross. It goes into detail about option writing strategies that can improve your profit. It reviews all of the basic mechanics of selling options and profiting as well as strategies that are insider-quality, easy to follow, and that have a high-probability approach.
- “Technical Analysis of Stock Trends” by John Magee
- “Japanese Candlestick Charting Techniques, Second Edition” by Steve Nison
- “Trading for a Living: Psychology, Trading Tactics, Money Management” by Alexander Elder.