Best-selling books on stock market investing

Best-selling books on stock market investing

4 July 2015, 15:35
Alice F
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No that the geopolitical backdrop makes investors nervous, they seem to prefer riskier assets like stocks. Quite a lot of investors got successful at trading stocks, and some of them even wrote books to teach others... let us see the best-sellers among books on trading stocks.

The Intelligent Investor, by Benjamin Graham (Collins, 2005)

For Warren Buffett, it is one of the best books on investment ever written.

Graham is a quantitative investor at heart. He believed that all the qualitative aspects of a company would represent themselves in financial statistics.

By understanding the statements and trends therein, Graham could correctly assess a company’s prospects, says Forbes.

The first 10 chapters treat about investment basics like speculation, inflation, stocks against bonds, “defensive” vs. “enterprising” investing and margin of safety.

The last 10 chapters will tell you about securities analysis for the lay investor including topics like financial statement analysis, per share earnings and assessing management.

The author uses many instances, and while some may be a bit dated, the key points are easy to get

Common Stocks and Uncommon Profits, by Philip Fisher (Wiley, 2003)

Forbes magazine advises to complement Graham's quantitative focus with Fisher's qualitative focus. So reading both is surely worth it.

The author of the book is an original growth-stock investor. He advises to achieve great stock market wealth by investing in a small portfolio of companies that grow sales and earnings over many years.

You might hold investment indefinitely if it is carefully chosen. Fisher also explains how to find such gems.

He lists 15 advantageous features a company should have to be considered a superior investment.

For instance, how big is the addressable market, and does the company have the products and infrastructure to capture a reasonable market share?

According to Forbes, the author is famous for his “scuttlebutt” approach to answering these questions.This includes speaking with employees (or better yet, ex-employees), customers, vendors and competitors to obtain inside knowledge of a company’s prospects. He teaches us the right questions to ask.

“10 don’ts for investors” are also underscored by the author. Those include such nuggets as “Don’t buy promotional companies” and “Don’t follow the crowd.”

The Neatest Little Guide to Stock Market Investing: Fifth Edition, by Jason Kelly (Pearson, 2012)

This one is one of Amazon's best-seller and best-rated books, having earned a reputation of giving an effective approach to stocks and investment strategy.

In the book, the author will tell you about:

  • What has changed and what remains timeless as the economy recovers from the subprime crash
  • All-new insights from deep historical research showing which measurements best identify winning stocks
  • A rock-solid value averaging plan that grows 3 percent per quarter, regardless of the economic climate
  • An exclusive conversation with legendary Legg Mason portfolio manager Bill Miller, revealing what he learned from the crash and recovery
  • Thoroughly updated resources emphasizing online tools, the latest stock screeners, and analytical sites that best navigated recent trends
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