Tuesday, May 31, 2016

Resources to get started in investing

For those who are interested in investing. Below are few books, blogs and videos that helped me navigate the complex world of investing. Feel free to leave a comment or suggestion.
A. PERSONAL FINANCE

1. Money - Master the game This is the big picture book. Helps in connecting in your needs with world of money out there.

B. PHILOSOPHY OF INVESTING 

2. Intelligent Investing  by Benjamin Graham. I read this atleast two times and is my go to book when I get confused about how to go about investing.
3. Berkshire letters to shareholders - Warren Buffet. At a lunch meeting for investors in his fund IVWIX, when I asked the founder Charles de Valulx what books he recommended to make me an investor. He said just read and re read Warren Buffet letters to investors.
4. Buffett - Making of an American Capitalist - Roger Lowenstein A fascinating book on the effort Warren Buffet put in mastering his craft of investing and his methods.
5. Pool Charlie's Almanack - Charlie Munger. Charlie Munger is partner of Warren Buffet. A very engaging read. He also has his own reading list at the end to get you going on his way of thinking. 

FINANCIAL ANALYSIS

6. CFA Level 1 and Level 2 curriculum on Financial Reporting and Analysis and Corporate Finance found here

If you are going to be picking stocks then you better get good at analyzing finanial statements and understand accounting.

STATISTICS

Knowledge of statistics is critical to quantify movement in prices of assets. 

6. CFA Level 1 and Level 2 Curriculum on Quantitative Methods found here

MUTUAL FUNDS

7. Common Sense on Mutual Funds - John Bogle. Great read on funds performance relative to various indexes. 

STOCK PICKING

8. One up on wall street - Peter Lynch. Discusses how common man with focus and attention can have an edge over professional investors. Easier said than done. 

9. Expectations Investing - Co Author Michael Moubassim. Seeks to answer the question, what is implied in prices of a given stock? What growth rates? What risk? What returns?. He also used to pen Moubassim on Strategy, an investment oriented research papers.  They may also be worth looking up.

10. Security Analysis - Benjaming Graham and Dodd. Classic favorite of pros like Warren Buffett and other investing greats. Long read.

11. Common Stocks and Uncommon Profits - Phillip Fisher. Great book on fundamental analysis loved by so many buy side analysts.

12. 5 Keys to Value Investing - Dennis Jean Jacques. Takeaway for me here was finding a company that was taken over recently and using that as one of the inputs in your valuation model. 

13. Value Investing - From Graham, Buffett and Beyond - Bruce Greenwald. Has some good case studies. 

14. Little Book that beats the markets - Joel Greenblat. He ran very successful hedge fund Gotham Capital and has distilled value investing tenets into a quantitative formula. "How to be a stock market genius" is another book that has been highly recommended by many sources. At some point I will try to read that as well. 

15. Investment Valuation Ashwath Damodaran. I use it as reference when it comes valuing any asset. 

TRADING

16. The little book of trading - Michael Covel. Good review of some top trend following investors.

17. Market Wizards - Jack Schwager. This has been recommended from several sources.


ASSET ALLOCATION

18. Mebane Faber at Cambria Invesments has this great book available for free. These are models used by leading investment houses such as various endowments. 

PODCASTS, VIDEOS, BLOGS
19. Wealthtrack by Consuello Mack. Interviews with some of the best practitioners of the craft of investing. 

20. 5 Things I do to become a better investor Tim Ferriss. Tim Ferriss is an angel/startup investor. So if you are into public markets then you may not want to follow him word to word. However he high lights some general principles behind successful investing. 

21. Damodaran - Ashwath Damodaran. I am a big fan of prof Damodaran at NYU. Never miss to read his posts. Sometimes I also follow him on his investments. The investment valuation model I use is borrowed from him. 

22. Corp Finance, Investment Valuation and Investment Philosophy  All classes on these topics taught by professor Damodaran. 

23. Mutual Fund Observer  This is a great site with manager interviews and deeper fund analysis.

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