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Warren Buffett's Top Book Recommendations for Aspiring Investors

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Chapter 1: The Importance of Reading

Warren Buffett, one of the most renowned investors globally, is also an avid reader dedicated to continuous learning. As he famously stated during an interview, “Read 500 pages every week. That’s how knowledge builds up. It’s like compound interest.” This article highlights several personal finance books that Buffett has rated highly, all of which are engaging reads that you should dive into without delay.

Warren Buffett reading a book

Section 1.1: How to Win Friends and Influence People

Author: Dale Carnegie

Page Count: 288

Goodreads Rating: 4.22

This classic book remains a bestseller for a good reason—it’s exceptional. As the title suggests, it focuses on building lasting relationships in both personal and professional spheres. Here’s a brief description from Goodreads:

“Dale Carnegie’s principles endure and will help you achieve your maximum potential in the complex and competitive modern age. Learn six ways to make people like you, twelve ways to win people to your way of thinking, and nine ways to change people without arousing resentment.”

Reading How to Win Friends and Influence People empowered me to network effectively on LinkedIn. It also helped me become more sociable, improve my relationships, and recognize my own flaws. Approach this book with an open mind, and you’ll discover valuable insights.

Here are some memorable quotes from the book:

  • “Don’t be afraid of enemies who attack you. Be afraid of the friends who flatter you.”
  • “It isn’t what you have or who you are or where you are or what you are doing that makes you happy or unhappy. It is what you think about it.”
  • “You can make more friends in two months by becoming interested in other people than you can in two years by trying to get other people interested in you.”

Section 1.2: The Intelligent Investor

Author: Benjamin Graham

Page Count: 623

Goodreads Rating: 4.25

Warren Buffett was exposed to numerous finance and investing books from a young age, thanks to his father's small investment business. One book, in particular, stood out: The Intelligent Investor. This book emphasizes the importance of purchasing undervalued stocks and holding them long-term. Buffett later adopted this strategy, which helped him amass billions as one of the most successful investors ever.

“I knew what everybody thought and all of that at an early age, but what Graham wrote made sense,” Buffett remarked during a talk at Columbia University. “I just happened to pick that book up at a bookstore in Nebraska.”

I relate to Buffett in certain ways, though I’m not a billionaire. I appreciate The Intelligent Investor for the life-changing advice it offers, which has accelerated my journey towards financial independence. I hope it has the same impact on you.

Here are a few insightful quotes from the book:

  • “Those who do not remember the past are condemned to repeat it.”
  • “People who invest make money for themselves; people who speculate make money for their brokers.”
  • “An investment operation is one which, upon thorough analysis, promises safety of principal and an adequate return.”

In this video, Warren Buffett discusses the 11 books that have significantly influenced his success in investing.

Chapter 2: Inspiring Memoirs for Entrepreneurs

Section 2.1: Shoe Dog: A Memoir by the Creator of Nike

Author: Phil Knight

Page Count: 400

Goodreads Rating: 4.47

Shoe Dog is the most motivational memoir I’ve ever encountered. Phil Knight, co-founder of Nike, began his journey from humble beginnings, often struggling financially. In the early days, he sold shoes from his car's trunk, putting in relentless hours just to survive. Over the decades, he turned Nike into a globally recognized sports brand.

What propelled him from financial struggles to billionaire status? His unwavering dedication and willingness to take calculated risks, which are thoroughly detailed in Shoe Dog, provide the answers. This memoir is a must-read!

Here are some inspiring quotes from the book:

  • “When you see only problems, you’re not seeing clearly.”
  • “Beating the competition is relatively easy. Beating yourself is a never-ending commitment.”
  • “The cowards never started, and the weak died along the way. That leaves us, ladies and gentlemen. Us.”
Phil Knight in the early days of Nike

In this video, discover why "Common Stocks and Uncommon Profits" by Philip Fisher is one of Warren Buffett's all-time favorite books.

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