8 Books Warren Buffett Recommends To Help You Manage Money Better
Written by
Caitlyn Moorhead
Edited by
Ashleigh Ray
Commitment to Our Readers
GOBankingRates' editorial team is committed to bringing you unbiased reviews and information. We use data-driven methodologies to evaluate financial products and services - our reviews and ratings are not influenced by advertisers. You can read more about our editorial guidelines and our products and services review methodology.
20 Years
Helping You Live Richer
Reviewed
by Experts
Trusted by
Millions of Readers
Outside of his prophetic investing principles in the stock market and business prowess with Berkshire Hathaway, Warren Buffett is an avid reader. After all, he didn’t become the Oracle of Omaha by not studying up, which he credits as a crucial element of his success.
Buffett’s chosen pastime is more than just an act of leisure; it’s also a way to further your financial literacy and achieve your money-growing goals. Whether you aspire to become a hedge fund manager or just want more than emergency savings on the side, Buffett has a suggestion for something you should read.
Here are 10 business and investment books recommended by Buffett that, when studied and applied, could pave the way to riches.
‘The Intelligent Investor’ by Benjamin Graham
If nothing else, Buffett likes to keep his investing techniques classic. This is why “The Intelligent Investor” is a top pick for his bookshelf.
You can see Benjamin Graham’s influence on Buffett when he emphasizes the importance of value investing — purchasing stocks at a price less than their intrinsic value. The book’s timeless principles provide a knowledge base to help grow your investing prowess.
Another one worth mentioning by Graham, co-authored by David Dodd, is “Security Analysis” which delves into analyzing stocks, bonds and other securities. It’s a comprehensive guide for anyone serious about understanding the principles of value investing.
‘Common Stocks and Uncommon Profits’ by Philip Fisher
Philip Fisher knows his way around a great investment strategy. Buffett appreciates his “scuttlebutt” method, which is where Fisher evaluates a company based on conversations with its stakeholders. It’s a unique approach that complements Buffett’s own approach to knowing who you’re investing in.
‘Business Adventures’ by John Brooks
Any business comes with its own unique sets of challenges, but this collection of New Yorker stories offers a broad perspective on how to approach each obstacle. Buffett recommended it to Bill Gates, stating it’s the best and most influential business book he’s ever read for insights into corporate decision-making and resilience.
‘Stress Test: Reflections on Financial Crises’ by Timothy F. Geithner
2008 was a time of severe economic and financial crisis. In order to learn from the past, Buffett lauds this book for its candid, behind-the-scenes view from the former Secretary of the Treasury. It offers insights into economic resilience and long-term success, themes that resonate with Buffett’s philosophy.
‘The Clash of the Cultures’ by John C. Bogle
Buffett loves long-term, low-cost investing, so it’s no surprise that he endorses Bogle’s advocacy for such a strategy. The book emphasizes the differences between investment and speculation while promoting a value-oriented and patient approach, which could serve you well in the long run.
‘Poor Charlie’s Almanack’ by Charles T. Munger
During his life, Charlie Munger was essentially Buffett’s right-hand man. It goes to follow that much of the advice given aligns with his long-time business partner‘s. The book serves as a compendium of wisdom, insights and mental models that directly coincide with Buffett’s belief in multidisciplinary learning and rational decision-making.
‘A Few Lessons for Investors and Managers’ by Peter Bevelin
It’s not hard to see why this book gets Buffett’s endorsement. After all, the book opens with one of Buffett’s own quotes: “I am a better investor because I am a businessman and a better businessman because I am an investor.”
It distills the financial advice of Buffett and Munger on investment, business and all aspects of life as it intermingles with money. Overall, it is a concise guide to their philosophies and offers practical advice on stock analysis and money management.
‘Where Are the Customers’ Yachts?’ by Fred Schwed
Capitalism can be an ugly beast, especially when the higher ups are well funded. This book provides a humorous yet insightful critique of Wall Street’s tendency to prioritize its profits over the interests of customers.
Buffett, as a frugal billionaire, appreciates its timeless reminder of the importance of integrity- both in life and in business.
Final Take To GO: Reading Is Fundamental for Your Funds
The bottom line is that Warren Buffett’s recommended reading list offers a rich treasury of knowledge on investing, business management and decision-making. These books encapsulate the principles that have made him one of the world’s wealthiest and most respected investors.
As Buffett once famously said, “The more you learn, the more you earn.”
More From GOBankingRates
