Best books for stock market investors

The Top 5 Best Personal Finance Books For 2022

The Top 5 Best Personal Finance Books For 2022

Personal finance is a topic that is rarely taught in school. We as Indians are good at saving but terrible at investing. If you are not from a finance background then it becomes a bit harder to be good at Personal finance.

 Reading books allows us to gain knowledge and learn things by ourselves without going for higher studies.  The writer puts the whole knowledge and experiences that he gains throughout his life in a single book. If you are curious about learning about the stock market then my collection of top personal finance books for 2022 will definitely help you.

1. The Intelligent Investor

The book was written by the legendary investor of his time Benjamin Graham. It was written way back in 1949 but the lessons taught by Graham are equally or more relevant in today’s era also. He gave a beautiful analogy on the stock market that Mr. Market visits your doorstep on daily basis and offers impressive prices for the stock when he is extremely hopeful about that company. While on a depressing day it offers a very low price for the same stock.

You must buy a stock only when it offers a margin of safety (lower than its actual price) so, that you will earn more return before investing which can minimize the losses in the adverse condition.

Graham advises a defensive approach to most people rather than aggressive investing. Investing in large-cap or well-known companies is easy to research and safe to invest in.

One of the greatest investors of all-time Warren Buffet also strongly recommends “The Intelligent  Investor” as his best personal finance book of all time.

2. Rich Dad Poor Dad

The book was written by Robert Kiyosaki. He talks about financial freedom. Rich people don’t work for money, money works for them. Rich people buy the assets which will generate cash flow and through that cash flow, they can live a life that others only dreamed of.

For example, rich people invest in stocks rather than put money in the bank to earn high returns. Besides, they earn passive income in the form of dividends.  On the other hand, poor mindset people continue to buy liabilities. If they buy a house then the furniture will come along.

Many people curse their low salary for poor conditions. But truth is that they are terrible at managing money.

“Buy luxury last, not first” – Robert Kiyosaki.

3.  Learn To Earn

Peter Lynch is known as the most successful fund manager of all time. He wrote this beautiful book on investing for absolute beginners.

He emphasizes investing in stock which you can understand as investing in a consumer company. For example which toothpaste you use or which mall you frequently visit. Such companies are easy to analyze and less risky to invest in.

School teaches us basic math but not how to apply it in real life and manage the game of money. They taught us about patriotism but not about how we can contribute to our economy and help our country grow by simply investing in the stock market or bond market.

When a company needs money then they have two ways either they take a loan from a bank or raise money through IPO.

You don’t need an MBA degree or to be an expert to earn money in the stock market.  It only requires basic mathematics of the 5th standard and some common sense.

4. The Warren Buffet Way

the warren buffet way

Robert Hagstrom wrote this book after learning about Warren Buffets’ life. As the name suggests the book is all about investing style of Warren Buffet. The management of the company plays a crucial role in the growth of the company.

If the management of the company is honest and intelligent then the stock price of the company should appreciate over a period of time. According to Buffet” The definition of the great company is one that will be great for 25 to 30 years”. 

The majority of investors buy and sell the stock on the basis of daily market news. If you want to become a better investor then you need to think differently.

If the market is negative about specific stock or sector but you are optimistic about that sector then you shouldn’t miss the chance of investing in that stock. Always remember Buffet’s advice.” Put big bets on high probability events”.

5. Coffee Can Investing

The book is written by Saurabh Mukherjea with two other authors. He is known for investing in quality stocks and holding them over a long period of time.

 In USA earlier people used to store their shares in the coffee can and many times, they forget to sell these shares. Due to investing in a stock for a longer period they usually earn high profits. Robert Kirby introduced this phenomenon called Coffee Can Investing which means buy and forget.

To analyze any company one must check whether the promoters are clean or not, do they allocate capital rationally, and last is the business has an economic moat. It is one of the best personal finance books by an Indian writer.

Conclusion :

I hope you will enjoy reading my favorite collection of – The Top 5 Best Personal Finance Book For 2022. Don’t forget to tell me your favorite finance book in the comment section.

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6 thoughts on “The Top 5 Best Personal Finance Books For 2022”

  1. Pingback: Top 5 Investors, Who Created Massive Wealth In Stock Market - Asaninvesting


      Yeah… I personally book losses due to lack of knowledge. Books gives all round perspective about specific topic. Btw… Do you like reading books?

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