Warren Buffett's top books: 7 recommendations for investors
Want to make money in your sleep? Tap into billionaire Warren Buffet's reading list!
Warren Buffet, a legendary and remarkable investor, has left an indelible mark on the finance world. With a staggering net worth of $133.4 billion according to Forbes, he has solidified his position as one of the most renowned investors of the 20th century. A key factor in his success is his voracious appetite for reading, especially when it comes to books on investing, business, and life in general. In today's article let's explore Warren Buffet's top 7 book recommendations!
Top 7 book recommendations from Warren Buffet
1. Where Are the Customers’ Yachts? Or a Good Hard Look at Wall Street
Authored by Fred Schwed, it unravels the hypocrisy of The Wall Street trying to understand why financial bankers and brokers had yachts but not their customers. It is an entertaining non-fictional book with a humorous twist on the desperate nature of stock brokers and how investors should be aware of them. Philanthropist Buffet recommended it by saying "The funniest book ever written about investing, it lightly delivers many truly important messages on the subject."
2. Poor Charlie’s Almanack: The Wit and Wisdom of Charles T. Munger
This book comprises wise words from long-time business partner and vice president of Berkshire, Charlie Munger. However, it is not an investment guide nor an autobiography but rather focuses on building key traits such as perseverance, curiosity, and concentration, that play an important role in an investor's journey.
Warren praised this book saying "This book is something of a publishing miracle—never advertised, yet year after year selling many thousands of copies from its Internet site."
3. Shoe Dog by Phil Knight
Nike is a go-to brand for most customers as it has made a solid space in a highly competitive landscape. Written by the founder and CEO of Nike, Phil Knight's candid memoir describes the early-stage startup days, the challenges faced and how it all cultivated into an iconic brand garnering millions of profits. From setbacks to triumphs, Phil's entrepreneurial journey is a must-read! Even billionaire Buffet could not resist praising it and saying “The best book I read last year. Phil is a gifted storyteller.”
4. The Outsiders by William Thorndike
William Thorndike explores a new definition of a successful CEO. In this thought-provoking guide, Thorndike delves into the secret behind 8 such leaders whose firm's average return surpassed the S&P 500 by 20 times. Whether it is their different management approach or a strong focus on per-share value, this book discovers all the traits and lessons to be learned from them. Moreover, Warren Buffet himself stated it is "an outstanding book about CEOs who excelled at capital allocation.”
5. The Most Important Thing by Howard Marks
Howard Marks is a well-known investor, chairman and co-founder of Oaktree Capital Management. With decades of experience, he has shared key investment lessons with insightful concepts such as second-level thinking, patient opportunism, price/value relationships, etc. Warren Buffet also recommended this book: "When I see memos from Howard Marks in my mail, they're the first thing I open and read.
I always learn something, and that goes double for his book."
6. Dream Big by Cristiane Correa
Jorge Paulo Lemann, Marcel Telles and Beto Sicupira founded 3G Capital. This Brazilian investment firm would grow big enough to fund brands such as Burger King, Hunter Douglas, Kraft Heinz, Tim Hortons, etc. Dream Big explores the rise of these 3 businessmen famously known as "The Three Musketeers" and also shares crucial principles like meritocracy, simplicity, having a solid team and much more. Warren suggested people read Dream Big at the Berkshire Hathaway Annual Meeting in 2014.
The bottom line
Warren Buffet's wisdom has ignited the ambitions of countless entrepreneurs and professionals, urging them to amass wealth and embrace the knowledge found in books. His recommended reads are a treasure trove for those seeking to improve their investment expertise and triumph in business. By reading these books and understanding the lessons from accomplished investors like Buffett, you can pave the way for your financial success. Happy reading!