Best Book on the Psychology of Investing: “Thinking, Fast and Slow”
Daniel Kahneman knows a thing or two about thinking. He’s a psychology professor at Princeton University. He also knows a lot about finances, having won the 2002 Nobel Prize for Economic Sciences.
His New York Times bestseller, “Thinking, Fast and Slow,” delves into how your thought processes can affect your success in investing. Everyone harbors their own little biases, sometimes subconsciously. Kahneman explains how to identify your own and lock them away so you can make investment decisions without their input, thinking clearly, rationally and analytically.
This book isn’t just about investing, although that’s its focus. Kahneman also explains how biases can affect our everyday lives and other financial decisions.
Best Book on Investing Like a Pro: “One Up on Wall Street”
The title gets your competitive juices flowing, doesn’t it? “One Up On Wall Street: How to Use What You Already Know to Make Money in the Market” throws down a challenge flag to beat the beast. Lynch says it’s not only possible for newbie investors to do as well as, if not better than, the pros–he maintains they already have everything it takes right at their fingertips.
Lynch believes that solid investment opportunities are everywhere. They litter the ground at our feet; we just have to stop walking so fast, pause in our everyday lives, and bend down to inspect the clutter so we can pluck out the most viable options. In doing so, we can beat the pros to the punchline and get in on an investment before the rest of the world realizes its potential.
“One Up on Wall Street” has sold more than a million copies since its release in 2000. The New York Times says Lynch, a renowned investor in his own right, is “in a league by himself.”
Best Book About Finances in General: “Principles: Life and Work”
This No. 1 New York Times bestseller is written by one of Time magazine’s 100 most influential people in the world. An average, middle-class kid who grew up in Long Island, Dalio began his investment firm in his New York apartment. Forty years later, Fortune named his company as one of the five most important in the U.S.
“Principles: Life and Work” is part autobiography, part instructional. Dalio shares his secrets and insights and explains how businesses, individuals, and organizations can adopt them, including a set of rules for applying them to investing, life, your business and your finances in general.
The New York Times says the book is “surprisingly moving.” Bill Gates said it provided him with “invaluable guidance.” Published in September 2017, the book is still making fresh waves in the industry.
Best for Conservative Investors: “The Only Investment Guide You’ll Ever Need”
This one has been around for over 40 years and for good reason. The Los Angeles Times says it “actually lives up to its name.” Don’t worry—it’s not antiquated with advice from the 1970s. It was recently updated in 2016 to keep pace with the current economy and trends.
Andrew Tobias doesn’t just address the wealthy investor. He offers tips and guidance for those with more limited capital, and he does it in frank, easy-to-understand and often humorous language. He dedicates the book to his broker, who, he says, “from time to time made me just that.”
“The Only Investment Guide” has helped educate over one million readers.
Best Book About Startups: “Angel: How to Invest in Technology ”
The full title of Jason Calacanis’ book, “Angel: How to Invest in Technology Startups—Timeless Advice from an Angel Investor Who Turned $100,000 into $100,000,000,” explains why you might want to forget the stock market and take a slightly different approach to investing.
Calacanis made his name as an angel investor in Silicon Valley, and he insists there are two ways to make money with startups. Both involve coming up with something new and innovative that the public simply can’t live without. The first way is to actually conceive of something and create it. The other is to fund its creation and distribution. Angels do the latter, and Calacanis explains his personal techniques for identifying and assisting worthy startups.
Learn to think like an angel by investing in startups in exchange for convertible debt or ownership equity. “Angel” was first released in 2017 and The New York Times calls it “refreshing and clarifying.”