Investing basics - book recommendations for teenager?

Hi all

Anyone have any book recommendations for a 17yo starting out with share investing?

Anything that explains in layman's terms the different share strategies and approaches?

Thanks

 

The simple path to wealth by jl collins

The Richest Man in Babylon

If You Can: How Millennials Can Get Rich Slowly

 

Compound Interest

Compound Interest

Dividend Reinvestment Plan—DRIP Definition (we call it DRP over here )

How Investments Grow by DRIPS (Dividend Reinvestment Plans)

try these first , so your teenager can decide if DRP schemes are useful to the strategy ( it might help decide between two similar shares )

the rest of the site has bits novices can learn from as well ( but has a US focus , so not everything is identical in Australia )

i started out deciding where i hoped to finish up ( for me it was an income stream once i had retired ) , and then thought about ways approaching the journey .. let's call it an adventure there will be plenty of surprises on the way

cheers

if you can find them .. sometimes you can find stock-tipping competitions ( the ASX runs one from time to time ) pick ones with a free entry ( NO money changes hands )

i found such competitions , very useful in testing strategies , bad ones fail spectacularly , BUT you don't lose money finding that out ( i would rather have a sad reputation than be $$$$ out of pocket )

adhering to Warren Buffet's first rule

DON'T LOSE MONEY

 

Thank you both, great places to start

 

The barefoot investor - Scott Pape, is a really good start for a beginner. Not just on stocks but a high level overview of saving, finance, and investing.
The Barefoot Investor - Scott Pape

Motivated money - Peter Thornhill. I've read this a few times after recommendations from this forum. Really good.
Motivated Money | Motivated Money


A random walk down wall street, one up on wall street, The intelligent investor etc are all decent as well, but these authors/industry titans all seem to share the same opinion that noone really knows what they are doing. Over the long term it's very difficult to beat the market and it is hard to beat a good EFT.

Buying the first two books for your 17y/o might be one of the best investments you will make ; )

 

Noel Whittaker's "Making Money Made Simple"

 

+1 to Barefoot, Thornhill and Whittaker.
That was my entry into self-education, with Thornhill having the most impact on me.

Peter Koulizos has a good book which compares property to shares in a neutral manner.
Property vs Shares: Discover Your Knockout Investment Strategy
Property vs Shares

Basically look up the Dewey system part of the library (332?) that has all the finance books and see what's available.

This list is a good summary of different levels of investing that I've found useful in the past
The aus.invest book list

 

'The richest man in Babylon'. Timeless fables about money and investing.

 

+1 for BFI - gets a lot of flack from brokers who haven't read the book, Richest Man in Babylon also a classic, Rich Dad Poor Dad helped me in the early days as well.

 

Also check out the threads on Property Chat re: shares.

Really informative and demonstrate how the posters have different strategies which have changed over the years.

 

Thanks everyone, great recommendations!

 

Rich Dad Poor Dad was a motivating book as a beginner. I guess I would be okay recommending the books to a financial newbie for motivation to make a change. However, his financial advise is very vague, and IMHO is designed to sell more books and get naïve people to pay for his seminars. The main takeout is spend less than you earn, pay yourself first and INVEST.

I actually re-read one of the Rich Dad Poor Dad books from the library a few years ago and realised he makes lots of platitudes with no specifics. Some of the points are just plain false such as telling readers that a house is not an asset. I also became skeptical of whether his "Rich Dad" ever existed and a lot of the stories are extremely unlikely accounts of events that supposedly occurred. Furthermore, in his life he fails to disclose his supposed real estate or other investment success so I've concluded that he's a charlatan. He also perpetrates myths about the share market and the overall economy.