A Great Read For Beginners Investing

A Great Read For Beginners Investing
January 22, 2011
When I first started my investment advisory firm I had a tendency to assume that every person that I spoke with had an advanced knowledge of investing. I would mention growth rates, historical P/E’s, and cash flows. The person that I was talking to would often look back at me with a puzzled expression. I instantly knew that I needed to slow it down. The same thing is true about investing books.
I often tell people that the best book to read on investing is the Intelligent Investor. I enjoyed reading that book so much that I wrote post about it called the best and the worst financial books that I had ever read. The Intelligent Investor is still my absolute favorite book on investing. Although it is my favorite book, it does require some knowledge about investing. You would have to already know the basics of investing because the book is a bit advanced. Today, I am going to give you a good book for learning the basics of investing.
A Solid Book For Beginners Investing
My favorite book for beginners investing is a book by the Motley Fool. If you want to learn the basics of investing read The Motley Fool Investment Guide For Teens: 8 Steps To Having More Money Than Your Parents Ever Dreamed About. I know the book says for teens but I can tell you from experience that most adults can benefit from reading it. One of my friends has a MBA degree and he borrowed the book and loved it.

This book does an excellent job of breaking down the ins and outs of investing. The authors do a great job of breaking down different investments and how to value them. You will get a much better understanding of what a stock is and how to select a good one. You also get a primer on mutual funds so that you can get greater insight as to what to look for.
Make Investing Easy To Understand
The book teaches investing from a fun perspective and is easy to understand. The Motley Fool Investment Guide For Teens teaches all of the basic principles of investing and how to build a successful investment strategy. The Gardeners do a great job of breaking down financial terminology and investment options. This is a great read for the self directed investor.
I like the fact that the Gardener brothers approach the subject in a light hearted manner. Any newbie can benefit from this book. I would reread the chapters occasionally whenever I taught seminars or had investment club meetings. This book helped me explain investing in an easy to understand manner.
Read here for more information on beginning investing.

http://buylikebuffett.com/investing/a-great-read-for-beginners-investing/