11 books that will change the way you look at stock market

Several people have asked me this and I’ve always told them the same thing; there is not any single book I would recommend for Stock Market Investing. I have read numerous ones on and relating to Stock Investing and I have learned a lot from them.

What am I going to write down now is the result of long time struggle to find out the best books on stock market, investing, ups and downs…….etc

I’ll walk you through the books in a moment but first, let me tell you my story…

3 years ago, I didn’t know the slightest thing about the stock market. Greatly excited by the prospect of making money on my own, I keep researching more and more.

I got a book from my father – the Tao of Warren Buffet, I read it again and again to understand the strategy used by Warren Buffet which made him the richest person in the world (2 times). But unfortunately, I got nothing valuable.

In a while, I lost the interest and stop researching anymore.

Accidentally, after a couple of months, I found a book in my school library – Stocks to Riches (by Parag Parikh). This turns the whole thing up, I got a great insight into stock market, how market works, what beginners should know before investing…….

Now I again read the book, my father gave me earlier, it seems completely meaningful and understandable with full of short sarcastic lessons that Mr. Buffett while his investing career.

Don’t get excited, here’s come another shocker….

I ordered a book online on my friend’s recommendation, Rich Dad Poor Dad (by Robert Kiyosaki) this is an amazing book teaches “what rich do that poor don’t and also highlighted many facts about how money creates money” in a very pleasant way, It contributed enough to my ocean of knowledge

But this is not enough to become capable of investing profitably as this books only gives basic knowledge, no numeric study and stock market is all about numbers.

As I was a commerce student, I know much about accounting ratios but the main problem stood is how can I apply it to different companies in stock exchange.

For this I bought, borrowed and read many books such as Intelligent investor, security analysis, Common stocks and uncommon profit, One upon wall street etc but they all are written with the context of Wall-street so I found not much for Indian stock market.

Don’t be discourage, there is also a book with context to Indian Stock Market. Another best-selling book by Parag Parikh, Value investing and behavioral finance.

This is an another amazing book by this person. He is a value investor and a big follower of Mr. Buffett. He died in a car accident when he was in US departing for Buffett owned Berkshire Hathaway annual meeting.

Story apart, let’s talk about some books that can change the way you think about the stock market.

It took me two years to have a core knowledge of stock market but you can have it in couple of months by just reading the books in prescribed sequence (sequence description at the page end)

Before we go forward…

Remember, you need to make a habit of reading if you really want to stand in the stock market by your own. Every day in and day out, you need to read articles, annual reports, and most important, Investing Books to grab the mind of great Investors.

Look. Warren Buffett spends 80% of his day reading and he’s the most successful Investor of all time. So swear to god that you’ll spend more time on reading instead of following other’s advice.

If you’re ready then I personally suggest you to buy Kindle Paperwhite Device from Amazon. It’s a good tool for reading e-books & pdfs. I saved thousands of money since I bought this device. E-books are much cheaper and the reading interface is Awesome.

Apart from Ebooks, I also have all the PDFs of Berkshire Hathaway Annual Letters. Even I have PDF files of Annual Reports of many companies. It’s a one stage device to boost up your reading habit.

That’s what I like about this device. Consider reading all the specification of this device from Amazon Kindle page.

SO finally, Based on my reading and experience, below are some books that I would suggest to anyone asking me about Stock Market.

My personal opinion: This is my all time favorite. This book has also qualified for the Amazon Best Reads List – June’16. This book what made me understand the crux of value investing and spread a great message of how money makes money.

What people are saying (outsourced from Amazon)

The content of the book is fantastic, while the quality of the mass-market paperback edition is pathetic. Nothing more than a book sold in the roadside worth Rs. 100.

A wonderful book to read for all youngsters, those who wish to make a difference in

My personal opinion: I will be no bad if I say it an Indian version of “Intelligent investor”. I save a penny to buy this book. This is a must read for stock brokers, bankers, lay investors, portfolio manager, fund manager, and students of finance.

What people are saying (outsourced from Amazon)

The content of the book is fantastic, while the quality of the mass-market paperback edition is pathetic. Nothing more than a book sold in the roadside worth Rs. 100.

A wonderful book to read for all youngsters, those who wish to make a difference in their thinking process in terms of financial success.

My personal opinion: Still I’m finding this book to read. Also tried to buy this book on Amazon but not in stock. Contact me personally if you can endorse this book to me. I read summary and reviews of others on this book and find it interesting. He made the value investing simple by just following ROCE and ROE matrix.

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What people are saying (outsourced from Amazon)

“Simply perfect. One of the most important investment books of the last 50 years!”
(Michael Price)

“This book is the finest simple distillation of modern value investing principles ever written. It should be mandatory reading for all serious investors from the fourth grade on up.” (Professor Bruce Greenwald, Director of the Heilbrunn Center)

My personal opinion: This book is recommended by Warren Buffett which was the sole reason I read it but is cautious, don’t read it until and unless you’ve basic knowledge of stock market. Otherwise, read other books and then target this book. It is a detailed version with several wisdom quotes that are likely to change one’s investing career and lead to the path of financial safety and security.

What people are saying (outsourced from Amazon)

I don’t think I should say anything. Reviewing this book will be like “chota muh and badi baat”:) This book is a timeless classic which ANY investor should read. This book is not about strategies, it’s a book that lays down certain PRINCIPLES. I consider it my fortune to be able to read this book as an investment adviser & I recommend it to all my clients. One should make a practice of reading this book 10-15 pages daily (not more than that), to imbibe the message rather than going for a full read (note that it’s an investment classic, not a Chetan Bhagat novel:)….And one should read it again and again for the principles to sink…..In short, if you have not read this book, you don’t know investing!

My personal opinion: This is a collection of Warren Buffett annual letters that he writes for shareholders every year. It contains great insights of his investing strategy. You can also download it from the internet but if want to get all in one place in a well formatted manner, buy this book.

What people are saying (outsourced from Amazon)

Warren Buffett’s shareholder letters are available on the Berkshire website, but this is a brilliant alternative to the forbidding prospect of working through all of them. In The Essays of Warren Buffett, released in a new edition about every five years, most recently in a 3rd edition in 2013, Lawrence Cunningham has created a highly readable and topically indexed volume.

My personal opinion: This book is also on my list of “books to read”. Maybe the next read will be this book. I find it suggested by many great investors and also reviews on this books are in favor. It contains many technical jargons so furnish your stock market-related vocabulary before giving it a try.

What people are saying (outsourced from Amazon)

A true classic. Though quite an old book, this is a must for anyone investing in stocks. The way Fisher invested in companies and held them for a really long time is simply an amazing strategy. But the efforts Fisher took before buying stocks are also amazing. Investors and students of finance should not miss this masterpiece.

My personal opinion: One day I was just searching a meaning of “loss aversion” on Google. Accidentally came across this book on Google books. This grown my curiosity and one by one started swallowing the whole book. This impressed me a lot that I messaged the author personally for such a great contribution. Respect to his humbleness, he replied “”

What people are saying (outsourced from Amazon)

I just want to share one quote from this book “if you’re unwilling to take a position so bold that it can embarrass you if it fails, it’s correspondingly impossible to take a position that can make a real difference if it works out well”

My personal opinion: I’ve already said a lot for this book above in my short story. Just an extremely insightful book of great practical value that every investor, both beginners and the experienced, should read. No more words.

What people are saying (outsourced from Amazon)

The books go to explain the difference between investing & trading, the benefits of value investing and the challenges in doing it. Overall this is a good book to understand the human behavior when it comes to money. I would definitely recommend this book to anyone who wants to enter stock/equity market.

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My personal opinion: This is the first book ever I confronted in my life. This becomes a source of income to dig more into the topic. This doesn’t contain anything new than other books. It’s just a summarized way of Warren investing strategies explained each on one page.

What people are saying (outsourced from Amazon)

It’s a great book to read on how things work in the finance world and how to succeed. Though some of the ideas are repetitive and appears somewhat pithy,it’s a great book to give as a gift to finance enthusiasts.

My personal opinion: This is not named after any individual author instead named after CNBC TV 18. Hats off! to their effort put together in this wonderful book. It is a great read for beginners. Doesn’t contain any deep knowledge but still suggested to beginners.

What people are saying (outsourced from Amazon)

One of the best book for small investors. This book throws light on the stock market and its fundamentals. Everyone can easily acquire knowledge on fundamentals of the stock market and avoid mistakes.Everyone must read this book before investing in stock market.

My personal opinion: My long bow to Prasenjit contribution in this small book. Great effort to summarize almost every topic in this just a single book. crystal clear and clearing lot of aspects especially for beginners.

What people are saying (outsourced from Amazon)

One of the best book for small investors. This book throws light on the stock market and its fundamentals. Everyone can easily acquire knowledge on fundamentals of the stock market and avoid mistakes.Everyone must read this book before investing in stock market.

Now let’s talk about the sequential aspect of these books.

As a beginner – Start your journey from Stocks to Riches. Read it thoroughly then switch to book by Prasenjit and CNBC TV 18. But don’t skip Stocks to riches. It’s a great read for beginners. However, you can skip other 2 if you’re clever enough to understand the concept from former.

After reading above books, start your luck with The Little Book That Still Beats the Market (by Greenblatt). It’s a great book to understand the analyze part of stocks. In other words, it will help you to choose stock by analyzing instead of investing on other’s recommendation. Give it a try.

As a professional – (It will be no bad if you read the above books) Assuming you’ve basic knowledge of the stock market, rest remaining books will be more than enough to understand every aspect that one should know before investing in stock market.

Still, if you do not have much time to just keep your eye on just 2 books:

Important Note :-

Keep all the books on one side and Rich Dad Poor Dad on other. Must read this book. This book is key to understand how money works and what rich people do that poor doesn’t.

It doesn’t specifically talk about the stock market but still a must read the book. It doesn’t matter whether you’re layman or professional.

Important Disclosure :-

2 books from the above list are featured on Amazon Best read for June.

Featured books for this month are available at 50% discount. Don’t miss the opportunity. They are segregated on the basis of best-selling books in past.

My bad luck! I’ve already read these 2 books. If you’ve not read them yet, buy it ASAP and swallow it all.

I bet that after reading all the books in a prescribed manner will yield you more than enough knowledge. Even make you more capable of investing in market wisely.

I used to be an investing newbie too. I had the same problems. I started my first investment 1 year back, and I knew less than nothing about investing.

Now I know a ton of them, and even my finance blog doing pretty well – I receive more than enough visitors per month which makes me consider myself someone you could listen to and learn from when it comes to starting your investing career. I’m not some sort of Guru, but I certainly do know the basics.

If you know any book in your mind (and not cited in the answer) please notify in comments. I would like to read and share it with others.

About Sowmay Jain 55 Articles
Hello! I’m from Hub of IT (ha!) Hyderabad, India. I work full-time from home, making a living from my blog and another dynamic medium from my investments. Like so many other people, I’m on my Plan B career. At the same time, I share ideas and techniques to help my readers in mastering stock market and overcoming losses.
  • Ashish

    Wow! great peice of content. Keep writing. I love your writings.

  • Happy to hear it, Arpit.

  • Thanks! Monika.

  • Siddharth Saudagar

    Thanks for listing various books. I am planning to get 3 books Rich Dad Poor Dad, Stocks to Riches and How to Avoid Loss and Earn Consistently in the Stock Market

  • vinay

    what about
    one up on wall street-peter lynch
    in this link lot of books are mentioned.what do you think about those? i mean can a beginner can understand.

    • Yes! Peter Lynch is a reputed Value Investor and Safal Niveshak is also a reputed finance blog. Consider reading this book. I’m also currently reading the book by Lynch – Beating the Street.

  • Hey! This article talks about the sequence – http://bit.ly/2bWkZSh

  • Hello Pal,
    Haven’t seen someone of your age taking interest on markets.The books that you recommended are awesome as I have read a few.Well done buddy.
    Keep it up.

  • Krishna Ramavarapu

    Hi Sowmay. Thanks for not only listing the books but also giving insight on how to read sequentially. Cheers!