✔️ Information reviewed and updated in September 2024 by Pedro Martínez González
One of the key premises that you must take into account before entering the world of investments and finance is, of course, having a basic understanding of this area. Although it is difficult to acquire because there is no training to become an investor in the university, one of the best ways to acquire this knowledge is to learn from the great financial books.
Introduction to Investing Books
Books on investments and finance can be extremely complex to understand, especially if you have an initial level, and you are about to enter this exciting world.
However, the best books on business and finance are very varied, some of them too technical with concepts that are difficult to understand; but others are simple and introductory, personal finance and even fiction or true stories about the best investors in the world.
Why read investing and finance books?
If you want to learn from the most acclaimed stock and investment books, you should consider that you will never waste time, since you can acquire great knowledge such as:
- Finanzas person biennial
- Financial education
- wealth creation
- Investment
- Asset and liability management
- Understanding of the financial world.
With this basic knowledge, you will also be able to incorporate the practices that will allow you to make the most appropriate decisions, the essential books on investments being an indisputable part of your training.
The 10 best investment books
Now that you know its importance, we will review the best books on business and finance, from the most initial, through the most technical, and even some on fiction.
1. The Wolf of Wall Street
Before being one of the most acclaimed movies on Wall Street, this text is one of the great financial books, mainly because it tells the story of Jordan Belfort himself, published in 2007.
In this book, Belfort explains how he entered the world of finance, becoming a true winner, using fraudulent practices, deceiving other investors, but generating great profits in his wake.
This book was so important that it was made into a movie in 2013.
2. The Intelligent Investor
We will continue our Top Finance Books with this incomparable classic, which recounts the most important advice given by one of the great investors in history, such as Benjamin Graham.
This classic launched in 1949 is still essential to analyze the risks of an investment and above all, make the most appropriate decisions.
3. Liar's Poker
This book published in 1989 written by Michael Lewis explores how Wall Street worked in 1980, recounting the author's own experience, exploring the greed, excesses and rivalry that exist in these environments.
4. Too Big to Fail
Continuing our recommended investing books, this book by Andrew Ross Sorkin addresses the 2008 financial crisis, exploring the factors that led to the financial collapse, primarily decisions made by top Wall Street investors.
5. Rich dad, poor dad
Of course, this classic is one of the essential books on investments, written by Robert Kiyosaki, being a true benchmark for personal finance.
With this story you will learn the basic principles of financial education, always thinking about how an investment can help you generate wealth.
6. One step ahead of Wall Street
This is one of the best books on Wall Street, written by a leading investment fund manager, who shares his knowledge and experiences with you, helping you identify the best investment opportunities.
7. The little book that beats the market
This text written by Joel Greenblatt will help you create a strategy which will allow you to find quality stocks at an excellent price, being an extremely clear and understandable tool on how you can make your own decisions based on applicable criteria.
8. A random walk down Wall Street
This classic examines how investors can make decisions based on efficient market theory, mainly using information, which will allow them to choose correct investments in the long term and, above all, diversifying their portfolios.
9. Thinking, Fast and Slow
In this text you will learn from Daniel Kahneman, a Nobel Prize winner in economics, who, although he will not give you lessons on finance and investment, will help you understand how the human brain works and how you can make mistakes due to biases. cognitive.
If you want to take your decisions further and not just get carried away by emotion, with this book you will be able to understand how an investor makes decisions thanks to psychological aspects.
10. The CASHFLOW Quadrant
To end our list of essential books on investments, we will talk about this other Kiyosaki classic, where you will learn more about the concepts previously reflected in Rich dad, poor dad.
In this book you will be able to learn how to generate assets and based on this, generate wealth, even when you are in an initial phase being employed.
Conclusions and learnings about the world of investments
As I told you in the introduction, learning about the world of investments is key, especially since there are no educational programs based on this activity.
In this case, you will have to learn on your own, but this does not mean that you do it alone, since you can learn from mentors and also from books, which are easily accessible and extremely cheap.
Using the most acclaimed stock and investment books, you can learn the basics of investing, stocks, bonds, investment funds, and other instruments.
In addition, you will learn how to base an investment strategy and, above all, generate in-depth knowledge of the market, adapting all this information to your own investment style.
As if that were not enough, you will be able to learn how risk affects your own investments, learning key tools to avoid losing everything, thanks to portfolio diversification, setting investment goals, understanding market fluctuations and other tools that will allow you to protect your capital. .
Finally, you will learn the importance of the psychology behind investing, avoiding falling into cognitive biases and, above all, preventing emotions from making decisions for you.
If you like this text, leave us a comment, so that in the future we can talk about the five best trading books.