For a novice investor, taking on the world of stock investment can often be a daunting and challenging task.
If you seriously wish to invest in the stock market, you will need to acquire a lot of information about trading and how the market functions. It is essential to educate yourself about the stock market to make more sensible and profitable investments. This is where the books step in from some of the masterminds that have stood the test of time. With thousands of books out there, we have listed five must-read books that are considered the holy grail of starting your investment journey.
The Intelligent Investor – Benjamin Graham
The Intelligent Investor is perceived as the bible of the stock market. Composed by the legendary Benjamin Graham, this book explains the stock market’s fundamentals from the viewpoint of value investors. It explains the investing approach for an enterprising investor and a defensive investor. Graham also introduced the concepts of Margin of Safety and Mr Market to simply explain the risk management and market behaviour.
Common Stocks and Uncommon Profits – Philip Fisher
This book focuses on the approach of growth stock investment, and it explains the investment philosophy of how the writer finds growth stocks to derive astronomical gains if held for long terms. Fisher further explains fifteen points that one must look for in common stocks.
Stocks to Riches – Parag Parikh
Parag Parikh excellently explains the entire truth of the Indian stock market in this book. Stocks to Riches is written in a simple and fathomable language, and it effectively highlights the mistakes an amateur investor could make. If you want to avoid committing beginner’s mistakes, this book is a must-read before entering the stock market.
Bulls, Bears and Other Beasts – Santosh Nair
This book focuses on the understanding of the financial health of India and covers all the significant events ranging from tax evasion to tech booms and money and bank laundering; crashes and scams to investors and fixers, paving the way for more sterile operations of the Indian stock market of the present day.
How to avoid loss and earn consistently in the stock market – Prasenjit Paul
Prasenjit Paul, in his book, illustrated the Indian share market’s scenario and the winning strategies that can be applied to derive consistent returns from the market. The book further explains the fundamentals of investing in stocks in lucid terms for beginners.
Read well before investing in the stock market. Happy investing!