Best books on investing for beginners? Here's everything to add to your reading list.

Whether you're a bookworm or a casual reader, there are perfect reads for you. It will not only get you cozy but will help you if you want to widen your understanding of the investing field.

Surely you've done your research. You might already read tons of blogs and free articles out there or even watch investing videos.

However, you crave more and maybe want an in-depth resource. Don't worry; we got you.

In this post, let's talk about the best books on investing for beginners.

Hence, let's kickstart your investing plans and roll out your money!

Related content: Money Investing For Beginners: The Right Way To Start Investing

Best Books on Investing for Beginners-13 Must-read books for the young investors

We have picked 13 of the best books on investing for beginners that you should include in your investing starter pack.

Moreover, these precious gems are built from the author's extensive research and investing experience.

So you can learn and hone your skill, prepping you for embarking on investing journey.

As the adage goes, investing in knowledge pays the best interest.

1. The Intelligent Investor by Benjamin Graham

First published in 1949, Benjamin Graham is sought to be the best finance guru and the father of value investing. 

This book is number one on our list as it presents highly-relevant information still useful today. Besides, it's hailed as the best investment book ever written.

Furthermore, it shares the essence of value investing. Value investing is a low-risk investment strategy but has the potential to reap high rewards.

The Intelligent Investor is continuously updated and revised over time to match today's market. Therefore helps starter investors to get an idea of the volatile market. 

2. Think and Grow Rich by Napoleon Hill

Initially published in 1937, it teaches about Andrew Carnegie's money-making formula based on a 13-step ladder to riches.

Napoleon Hill philosophized his 13 principles to guide readers in achieving long-term success. Moreover, he emphasizes the power of thoughts (how the right mindset can prod an individual.)

It also shares how desire, faith, fear, and belief can sum up or affect one's success rate of achieving goals.

The book doesn’t entirely focus on money or investing alone. But also on the way of living and guiding principles to achieve a financially successful life. 

3. Rich Dad Poor Dad by Robert Kiyosaki

Written from almost 25 years ago, Rich Dad Poor Dad still embodies the true definition of a timeless piece.

Rich Dad Poor Dad talks about achieving financial independence and the line between assets vs. liabilities.

It is one of the best books on investing for beginners because of its provocative thoughts about how financial literacy is not taught in school.

In a nutshell, the book tackles building generational wealth plus getting out of the rat race.

A notable quote is, “instead of working for money, make the money work for you.”

Read more: Investing For Beginners With Little Money- 13 Easy Ways To Invest

4. Thinking Fast and Slow by Daniel Kahneman

If you want to learn how thought processes can impact your investing strategy, this is the book for you.

Thinking Fast and Slow talks about the two systems that motivate how people think and affect the decision-making process.

Daniel Kahneman, a renowned scientist plus Nobel Prize Awardee, offers insights into how people make choices in their personal and business lives.

Plus, it also shows different techniques for guarding against mental glitches. That is when facing a personal or in the middle of a decision-making crisis.

For instance, reading this book will help you understand your thought patterns, emotional behavior, etc.

5. Investing in Dividends for Dummies by Lawrence Carrel

Now don't take this book literally. First of all, you are not a dum-dum!

Investing in Dividends for Dummies provides a well-detailed insight on how to earn money from stock dividends.

Furthermore, it explores what dividend stocks can do in an investment portfolio.

It is one of the best books on investing for beginners. Why? Well, because it teaches you how to build portfolios and choose the right companies offering dividends stocks.

Aside from that, you can gain realistic insights on gauging risk, growth, and return. Then, depending on your financial goals, you can set and align them to yours.

So it is a great resource material for anyone interested in investing in companies that pay dividends shares of stocks.

6. Stock Market 101 by Michelle Cagan

In addition, this book provides hands-on exercises for readers for engagement. Ultimately it will be your guide to the journey in building a well-diversified and balanced investment portfolio. 

So it is best for active traders too! It has everything you need to know about fundamental and technical analysis.

7. Broke Millennial: Stop Scraping By and Get Your Financial Life Together by Erin Lowry

As the title strongly suggests, this is best for the broke millennials.

The book itself is a step-by-step guide on financial management. It covers areas of budgeting, saving, investing, and debt management.

Besides, it is a refreshing and relatable book. Although it doesn't entirely discuss investing topics, it is an excellent book for personal finance 101.

Therefore, read this book if you seek sound and quality advice to break free from living paycheck to paycheck.

8. The Psychology of Money by Morgan Housel

A fascinating read for anyone who wants to improve in personal finance, and make relevant business decisions.

The Psychology of Money is not entirely on the investing space perse, but it also talks about how we process thoughts and emotions surrounding money. Moreover how it affects and influences the way we handle finances and make financial decisions.

It's one of the best books on investing for beginners because you will get to see concrete examples and definitions of the relationship between money and human behavior.

9. The Price of Tomorrow by Jeff Booth

The Price of Tomorrow presents engaging and well-structured information about technology and how it changes the economy.

In the book, Jeff Booth comprehensively presents technological advancement and the cause and effect it produces.

So if you want to know more about the trends in research and technology and how it affects the market, economy, and finance, grab your copy of this book now.

10. The Bitcoin Standard- The Decentralized Alternative to Central Banking by Saifedean Ammous

The Bitcoin Standard explains the historical rise of guess it! The Bitcoin. This makes sense if you want to get your feet wet in the bitcoin universe.

Furthermore, it tells the underlying factors that allowed bitcoins to thrive, plus their political, economic, and social impacts.

However, this is not just entirely about bitcoin. On the other hand, it also shares the history of money- from the primitive methods to coins, paper bills, digital currency, and fiat money.

Therefore, the book itself is a rich source of information on the history of monetary functions.

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11. Stock Market Investing for Beginners by Mark Johnson

This book is one of the best books on investing for beginners out there. But, more significantly, if investing is an entirely new subject for you, this is an excellent introduction.

For instance, it teaches you how to get started in active trading.

Aside from that, it presents strategic advice in navigating the stock market and helps novice investors make informed decisions. Moreover, it’s equipped with invaluable tips on building diversified investment portfolios.

12. The Little Book of Common Sense Investing by John Bogle

This nuggets of wisdom book teach readers solid investment strategies. We highly recommend this book for you if you're in dire need of common sense in investing.

John C. Bogle is the founder of Vanguard Group. He is also the pioneer of index investing shares tips on how to create a well-diversified and low-cost portfolio.

In case you don't know, The Vanguard Group is an investment company that prides itself on offering passively managed mutual funds and ETFs.

On the other hand, an index fund is like a basket of stock and bonds grouped according to a particular sector. In addition, many index funds hold what's in the index (which rarely changes), so investors can see the fund's holdings anytime.

This then results in low trading costs and lower taxes for investors. Essentially, an index fund is diversified since it is composed of bunches of different asset classes.

Therefore if one stock or bond is down (for the day or year) another is pulling it up because some or other assets inside the fund are probably up.

Other highlights shared in the book is busting investment myths and how to minimize costs in investing.

13. I Will Teach You To Be Rich by Ramit Sethi

You're probably familiar with the book title because it shares the same personal finance blog of the author.

Hence, this book version will show readers the author's tips and tricks on paying debts fast, accomplishing student loans faster, and even setting up high-interest bank accounts with zero fees.

Generally, it will introduce you to saving more money every month, negotiating for a big raise at work, and more! 

It is a very insightful book as you can also get a glimpse of true-to-life stories from avid readers. Moreover, those readers claimed that they also achieved success following the guiding principles from the book.

What book should a beginner investor need? 

It should be a book that even an infant can easily understand. But more significantly, it should be a book that thoroughly discusses the basics of investing without making the reader back out.

The reason for this is because nobody wants to get overwhelmed by fancy terms. So, no difficult words, confusing graphs, and charts, or pseudo-science BS.

Moreover, it would help if it is backed up by science and research. It is to support the claims, arguments, and strategies or techniques that are used.

Lastly, it should be more than a textbook. But a valuable resource that tells proven knowledge from the experiences and success stories of the author itself, not to mention their credentials.

For instance, why not begin with the best books on investing for beginners we suggest above? Besides, it's a mixture of classic plus contemporary business and self-help books you don't want to miss.

How should a beginner invest $1000?

Every master investor in the world was once a beginner, so don't be intimidated.

We suggest investing your hard-earned money first in knowledge. Then, you can start reading books, blogs or watch free videos on the internet. Aside from that, you can join free financial webinars before you jump into the chaotic but wonderful world of investing.

Moreover, you should also pick investments that complement the other investments in your portfolio. For instance, you can start with mutual funds, a couple of low-cost ETFs, index funds, or a combination of both.

Of course, each of them has its pros and cons. Therefore you must do your thorough research first. Also, learn your asset class, diversification, and your risk appetite.

Final thoughts

Diving into the world of investing without proper knowledge and tools is like jumping off a cliff with both eyes closed. Don't fall into the trap of blindly investing. You want to balance being hands-on while keeping your emotions intact.

Therefore, pick up a book or two from the above-mentioned best books on investing for beginners.

You can learn true-to-life stories and facts, science-based research, plus creative and timely strategies from most expert investors.

However, always remember that investing is far different from gambling. Risk and return are two sides of the same coin. So whenever you decide to invest in something, there is always a chance of winning and losing.

This means that certain risks that come along with investing. For example, you can't make money overnight through investing. It's going to be a long and hard-fought game. So “only invest what you can afford to lose and whether you'll be in it for a long time.”

Above all, take all the information presented to you with a pinch of salt. Still, experience is the best teacher and you should build your own investing system. Do not copy-paste because it works for someone doesn't mean it will work the same thing for you.

So, go ahead and widen your knowledge and read some books! Even better if you found yourself a financial advisor to get expertly curated advice.