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5 books that every investor should read

If you're looking for something to read that will improve your ability as an investor, I'd recommend any of these books. All 12 of them are deeply informative and will leave an impact on you.

Keep in mind that if investing were as easy as buying a book and reading it, we'd all be rich.

1. The Intelligent Investor by Benjamin Graham

Described as "by far the best book on investing ever written" by none other than Warren Buffett. "Chapters 8 and 20 have been the bedrock of my investing activities for more than 60 years," he says. "I suggest that all investors read those chapters and reread them every time the market has been especially strong or weak."

2. The Little Book that Beats the Market by Joel Greenblatt

As Buffett says, investing is simple but not easy. This book focuses on the simplicity of investing. Greenblatt, who has average annualized returns of about 40% for over 20 years, explains investing using 6th grade math and plain language. Putting it into practice is another story.

3. Fooled by Randomness by Nassim Taleb

The core of Taleb's other books — The Black Swan and Antifragile — can be found in this early work. One of the best parts, for me, was the notion of alternative histories. "Mother nature," he writes, "does not tell you how many holes there are on the roulette table." This book teaches you how to look at the world probabilistically. After you start doing that, nothing is ever the same again.

4. The Most Important Thing by Howard Marks

"This is a rarity," Buffett writes of Howard Marks' book, "a useful book." More than teaching you the keys to successful investment, it will teach you about critical thinking.

5. Poor Charlie's Almanack by Charlie Munger

Charlie Munger is perhaps the smartest man I don't know. This book is a curated collection of his speeches and talks that can't help but leave you smarter. Munger's wit and wisdom come across on every page. This book will improve your thinking and decisions. It will also shine light upon psychological forces that make you a one-legged man in an ass kicking contest. Read and re-read.

Source: http://www.businessinsider.com/