Finance and Investing Books

[Bean]

IMO the best book to start anyone, including a kid with:

Richest Man in Babylon

I had read books before this, like the TP level Rich Dad stuff, but after I read this book I felt like I knew the right questions, instead of just hunting for answers.

[Ad Orientem]

Many excellent books listed above. In particular I like Common Sense on Mutual Funds. But if asked to recommend books for newbie investors, the only two I usually steer them towards are...

1. The Bogleheads Guide to Investing by Taylor Larimore (Author), Mel Lindauer (Author), Michael LeBoeuf (Author), John C. Bogle (Foreword)
2. The Permanent Portfolio by our esteemed hosts

[BP]

Just finished Edward Chancellor's Devil Take the Hindmost A History of Financial Speculation.  Interesting book.  I was familiar with the early history portion, but found the chapters on the US Great Depression and the Japanese Bubble Economy of the 1980s to be fascinating.  At the same time, the long history of financial manipulation and links between politicians and "investors" makes me wonder if the financial markets can ever truly be a level playing field for the average citizen.

Anyone have any thoughts on a good book about the Great Depression or financial history of the US?

[Libertarian666]

Just finished Edward Chancellor's Devil Take the Hindmost A History of Financial Speculation.  Interesting book.  I was familiar with the early history portion, but found the chapters on the US Great Depression and the Japanese Bubble Economy of the 1980s to be fascinating.  At the same time, the long history of financial manipulation and links between politicians and "investors" makes me wonder if the financial markets can ever truly be a level playing field for the average citizen.

Anyone have any thoughts on a good book about the Great Depression or financial history of the US?

America's Great Depression by Murray Rothbard.

[AgAuMoney]

Anyone have any thoughts on a good book about the Great Depression or financial history of the US?

Not "good" as in "novel" but good as in great collection of historical facts with some narrative and a lot of references:

Not just the U.S. but much/most of it is western economic failures of the last 2-3 centuries since that is what we have best documentation:
This Time Is Different: Eight Centuries of Financial Folly by Reinhart, C.M. and Rogoff, K.

Pieces of Eight: The Monetary Powers and Disabilities of the United States Constitution by Edwin Viera

[BP]

Thanks for the recommendations Libertarian666 and AgAuMoney.

[rocketdog]

I just read an interesting book called "How To Retire Early and Live Well With Less Than A Million Dollars."  It was interesting because it was published in 2000, so the author was unaware of what would be happening in the markets.  Allegedly the author retired in 1981 at age 29 with a portfolio worth around $500K. 

I love reading old investing books to see how their advice holds up.  This author apparently was one lucky bastard and retired just when the stock market went on a tear.  But he also lost great sums of money so he had some humility as well.  His advice is fairly close to HB's, with some noticeable exceptions.  He of course didn't know about the dot-com bubble that was preparing to burst, nor about 9/11, nor about the Great Recession. 

He's a little too optimistic about stocks, which is understandable when you consider the time in which he was writing.  But he does caution readers to diversify widely and to focus on your long-term goals.  Not much really to recommend for users of this forum, I just thought it was an interesting read since I can look on the author's advice with the advantage of 13 years of subsequent knowledge at hand.

I have been unable to find any current information about how the author is doing today.  I would certainly be interested to know how well he weathered the market gyrations in 2000-2001 and 2008-2009! 

[Pointedstick]

Well, $500k in 1981 wold be the equivalent of $1.2m today. 

That said, $500k at today's dollar value still seems plenty feasible. 3% SWR gives you $15k/yr forever. That's easily enough for a single frugal person in the right place, and even more so if this person owns their own home.

[blackomen]

I *Highly* Recommend "I Will Teach You to be Rich" by Ramit Sethi..

On the surface, it sounds like a bold claim..  but much of it is filled with actionable financial advice.  His section on investing and beating the market has very haunting echos to Harry's Browne's book and the PP book although he doesn't explicitly recommend the PP.

[MachineGhost]

Well, $500k in 1981 wold be the equivalent of $1.2m today. 

That said, $500k at today's dollar value still seems plenty feasible. 3% SWR gives you $15k/yr forever. That's easily enough for a single frugal person in the right place, and even more so if this person owns their own home.

I just wanted to point out that living on $15K in the "right place" is probably extinct nowadays, even in butt-cheap Tornado Alley states like Oklahoma, unless you want to live like a dirty hippy reminisence of the films from the 70's.

[Stewardship]

... unless you want to live like a dirty hippy reminisence of the films from the 70's.

Throw in some firearms and you've got yourself a deal. 

[Reub]

You mean that I won't have to listen to rude people loudly yakking on their cellphones in public places any more? Count me in.

[Kriegsspiel]

The Great Depression; A Diary by Benjamin Roth was interesting.

[BP]

After Against the Gods, I read almost everything by Peter L. Bernstein.  Excellent writer. 

I just finished Ron Chernow's House of Morgan (731 pages or so - goes to about 1990).  Overall very good, with the first 250 pages or so being particularly good as it covers earlier American history.