By Kristin Hovencamp
I am often asked, “What do you suggest I read to become more financially literate?” In my opinion, here are some of the best books written on finance.
Historic Perspectives
The presence of brilliance can be found in Benjamin Graham’s foundational texts, Security Analysis (with David Dodd) and The Intelligent Investor. Touted as the “father of value investing,” Graham was a professor at Columbia University, where he came to mentor then-graduate student, Warren Buffett.
I’m drawn to everything written by Warren Buffett—books, articles, the annual Berkshire Hathaway shareholder letter, and essays. If I had to choose a book that most influenced me, it is The Essays of Warren Buffett.
When I first voiced my interest in working on Wall Street, I was given a copy of Peter Lynch’s 1989 book, One Up On Wall Street, which the author followed with publishing Beating the Street. To this day, I refer to relevant chapters in these two books.
Academic Resources
I love to reference Mark Anson’s The Handbook of Alternative Assets and The Handbook of Traditional and Alternative Investment Vehicles: Investment Characteristics and Strategies he co-wrote with Frank Fabozzi and Frank Joseph Jones. Fabozzi’s The Handbook of Fixed Income Securities is my favorite. It provides explanations for any level of investor in understanding the bond market. All three books are on my bookshelf, and well used.
Storied Approaches
I enjoy reading almost every book written by New Orleans native, Michael Lewis. Four of my favorites are Liar’s Poker, Panic! The Story of Modern Financial Insanity, The Big Short and Flash Boys.
An excellent book about the defunct hedge fund, Long-Term Capital Management, is When Genius Failed: The Rise and Fall of Long-Term Capital Management, by Roger Lowenstein.
A more recent and genuinely unbelievable tale of financial fraud written by Tom Wright and Bradley Hope, about businessman and fugitive, Jho Low, Billion Dollar Whale recalls Low’s swindling of governments, investment bankers, moguls, models, and the Hollywood elite.
Whether you’re interested in becoming educated on the history of investing, increasing your personal financial literacy, or gaining a better understanding of today’s markets, you may find these suggestions useful and entertaining.
