Professional investors can afford to work 12 hours a week, and spend the rest of the time doing their favorite hobby or traveling. But newcomers in this matter were not so lucky: in order to achieve high results in this area, they need to spend their free time on training. Trainings, courses, publications or books on investments are what you need in the initial stages.
opening speech
Investing as a way of earning appeared in the economy at the beginning of the 19th century in Switzerland and Belgium. After the end of World War I and the economic recovery, it found its place in the economy of the United States of America.
From that moment, investments occupy a separate niche in the economy of different countries. There are many exchange-traded funds and markets. Legal entities and individuals got the opportunity to freely buy and sell shares, as well as receive dividends for them. Actually, they talk about how to buy and sell correctly at courses and trainings, and as regards books on investments, there were too many of them during this period, and the main task is to determine the most useful ones.
Investment
Before starting with the enumeration of books, it is worth mentioning in a few words what investment is and what its features are. So, investing is a long-term investment in the sphere of entrepreneurial activity with the goal of making a profit.
You can invest in such economic segments as real estate, shares of companies (not only domestic but foreign), land, and entrepreneurial activity.
And before you start investing, you need to get comfortable with a term such as investment planning.
Investment Planning
Investing is not a game of chance, where you have to rely only on luck. In investing, a person will receive a profit or not, depends solely on how knowledgeable he is in the matter of planning, that is, whether he is able to make effective forecasts of financial injections. The main objectives of planning:
- Determine the need for investment funds.
- Identify likely sources of funding.
- Rate the payout for this source.
- Calculate the effectiveness of investments, taking into account the return on investment.
- Develop a business plan.
About all these tricks and is written in books on investments.
The first books on investments
Among the best books on investment, a place of honor is occupied by works written in the last century, which remain relevant even today. Among them:
- Reasonable investor. Benjamin Graham's book was published in 1949. This work is rightfully considered a classic investment guide. The information described here was taken as a basis by many other researchers. Graham's ideas are widespread among finance and investment professionals, and his student was Warren Buffett, the richest man on the planet. The book does not provide a formula for quick enrichment, but here you can find the basic principles of a successful investment.
- “Ordinary stocks — unusual returns.” In 1958, Philip Fisher, a professional investor, wrote a book that had a huge impact on the investment world. In the book, he described the principles of predicting the potential of a company by communicating with employees, competitors and customers, which provided much more reliable information than studying financial reports.
- “The Lynch Method.Investor behavior tactics. ” In 1989, Peter Lynch, director of mutual investment funds, wrote a book where he collected all the information obtained during his work on investors and the principles of successful investment.
- Mutual Funds and Common Sense. Year of release - 1999th. Posted by John Bogle. An American entrepreneur and founder of the world's largest mutual fund talks about the basics of investing and the nuances of acquiring his stake in a mutual investment fund.
Foreign investment
Information on the state of the stock market of other countries will be important during investment. Depending on the environment in which the company exists, the processes of negotiating and affairs in general are greatly influenced by the national-cultural aspect. Books on foreign investment will help sort this out. Particular attention should be paid to the book by Alexander Kosintsev “Foreign Investment”. The paper reveals the features of international investment processes, the specifics of their impact on the economy and the tendency of foreign investment in an environment of globalization.
Stock purchase
An important niche in the investment process is occupied by the shares of companies, their purchase and sale. By stocks it is customary to mean securities that indicate that their owner has made financial investments in the development of the company. The owner of the shares has the right to receive dividends, and may also sell the acquired securities at an inflated price. Books on investment in stocks examine in detail all aspects of this issue:
- «Long-term investments in stocks. Strategies". The author of the work is Jeremy Siegel, a University of Pennsylvania scientist who studies finance. In his book, he gives examples of correct calculations and strategies that help to develop the right attitude towards investing money.
- «8 steps to seven digits". Few people know about this book, and it is not so often found in the list of references for investors. The author of the work is Charles Carlson. At one time, he interviewed about 200 successful businessmen who raised their capital to a million dollars and higher by investing in stocks. Charles issued the information in the form of recommendations to investors.
- «All about promotions or an easy way to go your own way.". The book was written by Esme Fairber. Here the author tells why you need to invest in stocks, how to do it in order to make a profit, and how to increase the amount of dividends.
Financial management
Own funds are also a kind of investment, which, with the right approach, will be able to increase the personal budget. There is a simple rule: "Money makes money." Therefore, books on investment management also exist. In particular, it is worth noting the work that Vladimir Savenok published:
- «Drawing up a personal financial plan and its implementation". The secrets of creating a successful plan to attract additional profit are revealed. It also talks about successful investing and where to find money for the implementation of all life plans.
- «$ 1,000,000 for a daughter. Fund-raising plan". It talks about where you can get money to create personal capital, and how to increase it. Questions are disclosed on how to take the first step in accumulation and protect your finances in the period of inflation.
Investing in Russia
In reality, there are many investment opportunities in Russia, but they are known only in narrow circles. With the support of the Federal State Statistics Service in 2015, the book "Investments in Russia" was published. It contains consolidated statistical information that reflects the situation in which the objects of the economy operate. The structure of investment, the level of involvement of cash from the outside in the fixed capital of enterprises, the types of assets that can be acquired, and the form of ownership are presented.
This information can become an indispensable tool for investors wishing to invest their funds with subsequent enrichment in Russia. Together with information from other books, the investor will receive the necessary knowledge base in order to operate freely in the territory of his country.
For beginners
Beginning investors often hear words such as strategies, investment decisions, diversification, stocks, assets, and others. The best books about investments will help to understand such difficult issues:
- «Warren Buffett. How to make 50 billion out of 5 dollars". A book by Robert Hagstrom, which analyzes the basic principles of W. Buffett in investing and conducting business.
- «Essay on investments, company finances and management techniques". The work of Warren Buffett, which collects information about the nature of the business and investment.
- «The real work of the stock market". This book was written by Leo Goh. It reveals not only the secrets of successful investments, but also the basics of finance and economics, knowledge of which is mandatory at any stage of investment.
- «Investor manifest". Posted by William Bernstein. The book is a collection of basic investment rules.
- «A small book on investments". John Moldin presented a deep understanding of the market in the book and warned that new investment strategies should appear soon.
- «10 rules for a novice investor". This investment book by Burton Malkiel describes a culture of investing and provides recommendations to help you avoid the most common mistakes.
Motivation
According to readers, books on investment motivation deserve much attention. Of course, books on investments and finance play a major role in the proper conduct of the investment business, but without motivating factors it is difficult to coordinate their activities. Therefore, much attention is paid to this issue in modern books. Probably, even those who are not involved in investing, such motivating books are known as:
- Robert Kiyosaki and his best-selling books (Cash Flow Square, Rich Dad, Investment Guidelines).
- George Clayson "The Most Affluent Man of Babylon."
- Bodo Schaefer "Path to financial freedom."
- Thomas J. Stanley "The Millionaire Next Door."
- Heinrich Erdman "Invest and earn."
All these books are written in an easy and understandable syllable, read quickly and each of them contains the main idea: "Investing is accessible to everyone." Regardless of the education and financial situation, a person who has set a goal is able to reach the most unattainable heights. And even those who wish to engage in successful investment are capable of this, the main thing is to motivate themselves and prepare the necessary knowledge base in order to take the first step.