These are some of the best personal finance books I’ve read. If you read all the books below and want more recommendations, just email Financially Fab at Gmail dot com letting me know what you still want to learn about!
Wealth Building
These books will teach you the importance of increasing income and assets, cutting expenses, and living a moderate lifestyle that allows you to actually grow your wealth.
- Rich Dad Poor Dad, by Robert T. Kiyosaki
- Kick starts your drive for building assets and explains the wealth building secret that the rich know and the middle class doesn’t
-
Stop Acting Rich, by Thomas Stanley
- Clears up the myth that most millionaires are big spenders and uses real data to show how millionaires cut expenses and posers spend big to feign wealth
-
Millionaire Women Next Door, by Thomas Stanley
- Debunks myths about female millionaires with real data, including their low spending and high donation habits, differences from male millionaires, and typical family lives
-
The Millionaire Mind, by Thomas Stanley
- Profiles millionaires across America to show common success factors, including schooling, marriages, occupations, and other lifestyle choices
Personal Finance
If you only read one book on Personal Finance in the next few years, choose one of these:
-
Personal Finance for Dummies, by Eric Tyson
- Provides all the basics you need
-
I Will Teach You To be Rich, by Ramit Sethi
- Is an interesting read because Remit’s attitude is in-your-face hilarious, making you more likely to finish the book
Long-Term Investing / Mutual Funds
If you only read one book, choose any of these:
-
The New Coffee House Investor, Bill Schultheis
- Provides solid advice for your whole financial life in simple language
-
Mutual Funds for Dummies, by Eric Tyson
- Includes all the basics to get your started
-
The Little Book of Common Sense Investing, by John Bogle
- Explains why you make more money with long-term investing than trying to beat the market
Beating the Market
If you want to beat the market, read all of the investing books above and the ones below. If you’re not willing to read a few books, get out of the game. If you still want to beat the market after reading, go for it! Track all your trading costs, losses, and gains. In 15 years, if beat the market (S&P 500 Index), show me the spreadsheet! I’ll be surprised and happy for you!
-
Random Walk Down Wall Street, by Burton Malkiel
- Explains efficient market theory, which is required knowledge for any serious investor
- Unconventional Success: A Fundamental Approach to Personal Investment, by David Swensen
- Explains his successful asset allocation model
Financially Fab 