Continuing the discussion from Next Reading List: Beyond the Basics:
My collection of books. I hope it covers almost every important investment books. Any feedback is welcome
- The Five Rules For Successful Stock Investing - Pat Dorsey
- One Up On Wall Street - Peter Lynch
- Beating the Street - Peter Lynch
- The Dhandho Investor - Mohnish Pabrai
- The Intelligent Investor - Benjamin Graham
- The Little Book That Still Beats The Market - Joel Greenblatt
- Value Investing and Behavioural Finance - Parag Parikh
- The Little Book That Builds Wealth - Pat Dorsey
- Quality of Earnings - Thornton L. O’glove
- Value Investing - James Montier
- Contrarian Investment Strategies: The Psychological Edge - David Dreman
- You Can Be a Stock Market Genius - Joel Greenblatt
- Money Masters of Our Time - John Train
- Benjamin Graham and the Power of Growth Stocks - Frederick Martin
- Super Stocks - Kenneth L. Fisher
- Valuation: Measuring and Managing the Value of Companies
- The Thoughtful Investor - Basant Maheshwari
- Financial Shenanigans: How to Detect Accounting Gimmicks & Fraud in Financial Reports - Howard M. Schilit
- The Little Book of Behavioral Investing - James Montier
- What Works on Wall Street - James P. O’Shaughnessy
- Real Money - Jim Cramer
- The Little Book of Valuation - Aswath Damodaran
- The Warren Buffett Way - Robert G. Hagstrom
- Reminiscences of a Stock Operator - Edwin Lefevre
- The New Buffettology - Mary Buffett and David Clark
- The Manual of Ideas - John Mihaljevic
- The Little Book of Value Investing - Christopher Browne
- Security Analysis - Graham & Dodd
- Stocks For The Long Run - Jeremy Siegel
- Free Capital: How 12 Private Investors Made Millions in the Stock Market - Guy Thomas
- The Art of Value Investing: How the World’s Best Investors Beat the Market - John Heins
- Value Investing Made Easy - Janet Lowe
- The Future for Investors - Jeremy Siegel
- Value Investing from Graham to Buffett and Beyond
- Warren Buffett and the Art of Stock Arbitrage - Mary Buffett and David Clark
- Margin of Safety - Seth Klarman
- The New Value Investing: How to Apply Behavioral Finance to Stock Valuation Techniques and Build a Winning Portfolio - Howard C. Thomas
- Common Stocks and Uncommon Profits - Philip Fisher
Also Berkshire Hathaway Letters to Shareholders
I am an avid reader and my advice to everyone is to read atleast one investment book every month (You can reread your fav books if not a new one). Learning should be a continuous process to remind us every time about our investment philosophy.
Wow… quite an exhaustive list…thanks.
Tnxs Jobin. I checked out that book, looks interesting
I recently read another exciting book suggested by Warren Buffet in his letter to shareholders in 2012.
Outsiders - Eight Unconventional CEOs and Their Radically Rational Blueprint for Success
I have pre-ordered the following two books in amazon. It is just Rs.225 per book.
The Little Book of Trading: Trend Following Strategy for Big Winnings - I went through the Contents. It is not completely about technical investing. I hope it wud be a good read.
The Little Book of Sideways Markets: How to Make Money in Markets that Go Nowhere.
Happy Reading guys
The Dao of Capital, Mark Spitznagel
- Tell me if you even understood the book? I could barely get through a couple of chapters before i gave up. What is the takeaway from this book if you managed to read it?
yes I’ve read it and I rank it as one of the best books on contrarian investing out there. It’s a bit of a hard work though, I know what you’re saying.
I think it’s best to read it after The Black Swan to tie in the ideas better.
The book has three main threads intervowen together:
- Daoism and the roundabout thinking process
- Austrian economics and market distortions
- Tail risk hedging
In fact I think this is ordered from the most important to the least, but unfortunately most people read the book as if the Tail risk hedging part is the most important and the Dao philosophy the least. I think that’s the wrong way of approaching this book.
My main takeaway was that one needs to be convinced that markets distortions happen and once you’ve spotted some market distortions then it’s only a matter of time before the distortions correct. Note that market distortions are both on the upside and the downside. The longer it takes to correct, the more spectacular will be the correction. However since it can’t be timed, the ideal thing is to patiently keep making very small contrarian bets and keep losing small amounts to eventually make up for the big win. The more you lose, the more you’ll eventually win (yin/yang). Author has taken the Tobins Q as a valuation metric but I don’t think that you are required to use it, any indicator which shows that reality is different than the valuation will do.
By far my biggest learning was Taoism, being able to see the opposites as a whole and maintain the calm and equanimity (in investing and otherwise). This can’t be explained in words, but my deepest gratitude towards this book is for this. I urge you to pick up a good translation of Tao Te Ching (I have one by Stephen Mitchell, just Rs 133/- on amazon.in http://www.amazon.in/Tao-Te-Ching-Stephen-Mitchell/dp/8183282504/ref=sr_1_1?s=books&ie=UTF8&qid=1486106158&sr=1-1&keywords=tao+te+ching ) and read a chapter every day and apply it to investing. I guarantee you it’ll have a big effect, as it has had on me. (And not just investing!)
One of the most useful books on Fundamental Analysis is actually not an investment book at all – it is Michael Porter’s ‘Competitive Strategy – Techniques for Analyzing Industries & Competitors’.
No company operates in isolation, and its performance is determined not only by what it does, but also by the surrounding environment. How does one analyze changing industry dynamics, actions of competitors, customers, suppliers and so on? After all, the success or failure of management’s strategy is the result of a complex interplay of all these forces, and a lot more. One can analyze financial statements and differentiate the wheat from the chaff, but the statements are only the end result of the management’s actions, which in turn depend on the overall context in which the company operates. Porter’s book provides a systematic framework which can be used to analyze any industry – the product the business produces and various players operating in it. The book provides a basic foundation on which an investment thesis in favor of a company can subsequently be built.
I strongly recommend this book to all those interested in Fundamental Analysis.
(Note: This book is NOT on valuation)