The Intelligent Investor: The Classic Text on Value Investing

CLASSIC INVESTMENT BOOKS

Security Analysis

by Benjamin Graham & David Dodd

725 pages, 1934 McGraw-Hill Reprint Edition
A Focused Must Read!

This book is considered to be the Bible of fundamental security analysis. Benjamin Graham (with David Dodd), the father of security analysis, wrote the first of four editions of this book in 1934. Mr. Graham teaches readers how to safely invest in businesses by covering, in detail, all the factors that contribute to understanding how to value companies. This book is not a light read and the reader will have to commit time and effort to complete it, but the effort will be well rewarded.

Security Analysis (1951 Reprint Edition)

by Benjamin Graham & David Dodd

770 pages, 2004 McGraw-Hill
A Focused Must Read!

This book is considered to be the Bible of fundamental security analysis. Benjamin Graham (with David Dodd), the father of security analysis, wrote the first of four editions of this book in 1934. Mr. Graham teaches readers how to safely invest in businesses by covering, in detail, all the factors that contribute to understanding how to value companies. This book is not a light read and the reader will have to commit time and effort to complete it, but the effort will be well rewarded. The 1951 edition is quite a bit different then the two previous editions and focuses much more on equity investing.

Security Analysis, Sixth Edition

by Benjamin Graham & David Dodd

766 pages, 2008 McGraw-Hill
A Focused Must Read!

Kindle Edition

Collector’s Edition

This book is considered to be the Bible of fundamental security analysis.

Seth Klarman, one of the truly great investors of this generation, became the lead editor of a team of modern day investors who provided new prospectives on each chapter.

View a short introduction to the book by Seth Klarman here.

The Intelligent Investor

by Benjamin Graham

340 pages, 1974 Harper & Row
A Focused Must Read!

Kindle Edition

Mr. Warren Buffett of Berkshire Hathaway has called The Intelligent Investor “By far the best book on investing ever written.”

Mr. Graham wrote this book to be more comprehensible to the average investor than Security Analysis. I consider this book to be a required read for anyone interested in investing, it provides a great framework for thinking about investing. Special attention should be paid to Chapter 8 (The Investor and Market Fluctuations) and Chapter 20 (“Margin of Safety” as the Central Concept of Investments). A through understanding of these two chapters is vital to successful investing. I would also strongly recommend reading Appendix 1: The Superinvestors of Graham-and-Doddsville, this essay proves how successful the approach taught by Mr. Graham can be in practice.

640 pages, 2008 Collins Business
A Focused Must Read!

Kindle Edition

The same text as in the classic edition 4th edition but Mr. Zweig has included commentary on each chapter of the book and added recent examples to “…show you just how relevant – and how liberating – Graham’s principles remain today.”

304 pages, 2005 HarperBusiness
A Focused Must Read!

The Intelligent Investor, called by Warren Buffett “by far the best book on investing ever written” was published in four editions. The first edition, published in 1949, is reproduced here.

The Interpretation of Financial Statements

by Benjamin Graham and Spencer Meredith

Various Editions and Printings

An excellent beginner’s guide on how to read and analyze financial statements. Accounting is the language of business and if you plan to become an investor you must learn how to read it. I would recommend the 1964 revised edition of this book if you can locate it.

Margin of Safety

by Seth Klarman

249 pages, 1991 HarperCollins

A classic primer on value investing by Seth Klarman of The Baupost Group.

256 pages, 1958 Harper
A Focused Must Read!

This book is an investment classic because it’s one of two books Mr. Buffett credited with helping in framing his investment thinking. Mr. Buffett once said that he was “15 percent (Philip) Fisher and 85 percent Benjamin Graham.”. The key concepts of this book is Mr. Fisher explaining why investors should concentrate their investments and why they should hold their positions for the long term. Fisher’s thorough examination of the fifteen qualities of an excellent business is just one reason to purchase this superb work.

213 pages, 2007 Reprint
A Focused Must Read!

Kindle Edition

“I’d also recommend the first two books that Phil Fisher wrote back around 1960 – Common Stocks and Uncommon Profits and his second one – Paths to Wealth Through Common Stocks. Those are very good books.” Warren Buffett at the 1996 Berkshire Hathaway Annual Meeting (p. 39, August 6, 1996, OID)

336 pages, 2009 Reprint
A Focused Must Read!

Kindle Edition

Mr. Buffett recommended reading Chapter 12 of this book at the 1994 Berkshire Hathaway Annual Meeting and I certainly concur! (June 23, 1994, OID)

208 pages, 2006 Wiley
A Focused Must Read!

For anyone who has followed the activities of Wall Street for a prolonged period with a somewhat critical eye this book will certainly strike home. The author criticizes, in a humorous but thoughtful way, certain investment thought processes and the way Wall Street operates. The author spent two years on Wall Street in the 1920s and so had a fascinating perspective of the times.

He updated the book in 1955, supplying a new introduction in which he stated he didn’t think the book needed retouching as it might spoil it. He also made fun of his own actions as a customer making purchases in the stock market. Truly a classic investment text!

OLDIES BUT GOODIES

The Money Game

by Adam Smith

272 pages, 1976 Vintage

This book offers a unique view of how Wall Street works while playing “The Money Game”. Nice commentary on how speculators “invested” in the sixties, I enjoyed comparing the environment then to what I observe happening today in the market. Also a interesting look at why people involved in “The Money Game” act the way they do.

365 pages, 1972 Harpercollins

If your looking to improve your forensic accounting skills I recommend reading this book written by Professor Abraham Briloff (Emanuel Saxe Distinguished Professor Emeritus, Baruch College, New York). Here is a link to an Internet page about him.

453 pages, 1976 Harpercollins

If your looking to improve your forensic accounting skills I recommend reading this book written by Professor Abraham Briloff (Emanuel Saxe Distinguished Professor Emeritus, Baruch College, New York). Here is a link to an Internet page about him.

Supermoney

by Adam Smith

298 pages, 2006 Wiley

Kindle Edition

“In this book, Adam Smith says I like baseball metaphors. He’s right. So I will just describe this book as the equivalent of the performance of Don Larsen on October 8, 1956. For the uninitiated, that was the day he pitched the only perfect game in World Series history.” Warren Buffett

Supermoney discusses in detail the crisis the market was involved in during 1970. I strongly recommend reading Chapter 5: Somebody Must Have Done Something Right: The Lessons of The Master. The chapter discusses Benjamin Graham and Mr. Buffett and is a very interesting read. (Notice the year that Mr. Smith discovered Mr. Buffett!)

Contrarian Investment Strategy: The Psychology of Stock-Market Success

by David Dreman

302 pages, 1979 Random House

This is the original edition of the Contrarian Investment Strategy book by David Dreman. Mr. Warren Buffett had this to say about the 1979 edition, “That rarity – An extremely readable and useful book that will be of great value both to the layman and the professional.” I agree with Mr. Buffett and I also found the book to be a very interesting and insightful read.