Here's the next installment from top personal finance bloggers offering their single-best financial book they've ever read. Today, we'll hear from Jason at The Alpha Guy who says:
"The two books I recommend both involve investing. When learning to invest I think it's probably wise to learn from the best. The first book I recommend is 'The Warren Buffett Way' by Robert Hagstrom. The book is well written and goes into incredible detail about many of Buffett's investments. It breaks down certain calculations, gives good background information, and tries to go in depth to show why Buffett made the purchase. It is definitely a book you will refer to from time to time and learning from Buffett can be a profitable venture.
The next book is more of a textbook, but I think it's one of the best investment valuation books out there. The book is called 'Investment Valuation' and it is written by NYU professor Aswath Damodaran (he also has a great website). The book goes into incredible detail about how to value any financial asset. It uses real world/company examples to value oil fields, natural reserves, and multiple methods on how to value companies. This book might not be for everyone, but for those looking for a book to go comprehensively into analytical methods; this is the best book I've come across."
I've read "The Warren Buffet Way" and can recommend it as well. I'm not so sure about the other book -- it sounds a bit complicated for a simple financial blogger like me. ;-)
I've read the Buffett Way and I want to throw in my vote for it, it's a great way to look into how Buffett thinks and about his "stock lineage," tracing to Ben Graham and his stock trader's bible, Security Analysis.
Posted by: jim | July 20, 2005 at 09:29 AM