Best Investing Books for Young Adults

stack of books with piggy bank on top

You can build tremendous wealth by starting to invest as early as possible.

But you’re probably wondering:

“How do I know what to actually invest in?”

Well, today I’m going to make it easy for you.

I’ve put together a list of the 5 best investing books for young adults books, which if read and applied, can answer that question and so much more.

This list is broken down into two different sections

  • Part # 1 – These two books, which should be read first, will help young adults develop the fundamental mindset and behaviors for successful investing.
  • Part # 2 – Want to learn the methods and strategies that today’s most successful investors use, read these three books.

These are the best investing books for young adults. If you take time to read them all, you’ll be on a pace few can keep up with.

Best Investing Books for Young Adults – Part # 1

I Will Teach You To Be Rich

Ramit Sethi’s I Will Teach You To Be Rich is the best book I’ve come across for determining financial priorities for young adults.

The goal of investing is to achieve the highest after-tax return. Knowing the available options of where to invest, such as a Roth IRA or 401(K), can make the difference between success and failure.

The book allows young adults to determine what the highest and best use of their money will be (hint:  for many people, it’s not by investing in stocks). Just as important, it helps young adults build a system for managing your finances.

Investing is so much more than picking winning stocks. This book gives young adults the framework for how to think about money for the rest of their life.

The Little Book of Common Sense Investing

Once young adults get their financial infrastructure in place, they can start to think about investing.

John Bogle’s The Little Book of Common Sense Investing is the perfect book for young adults to learn the fundamentals of investing.

This book describes a simple approach anyone can implement to achieve above average returns.

There is one risk with this book. It may seem too simple. But study after study have shown this one strategy will continue to outperform other investors.

And if that’s not enough, Warren Buffett included on his recommended reading list.

Best Investing Books for Young Adults – Part # 2

The Intelligent Investor

Warren Buffett first read this book at the age of 19. He has said about The Intelligent Investor, “What I’m doing today, at age 76, is running things through the same thought process I learned from the book I read at 19.

What’s so important for the young adult to understand is successful investing isn’t about choosing what companies they know and like. Instead, it’s about having a process and a way to think about a business that will determine if its a good or bad investment.

The Intelligent Investor gives young adults a system for investing.

Young adults will be happy to know, the principles learned in The Intelligent Investor are still widely used today by the world’s most successful hedge fund managers. This book received the most recommendations from the world’s top investors and financial institutions.

This book came in at # 1, Best Investing Book of All Time,  as voted by 24 top investors & institutions

The Warren Buffett Way

Warren Buffett doesn’t rely only on the stock picking method laid out in The Intelligent Investor. He has adapted his investing style throughout the years as he’s grown.

It should go without saying, the results have been extraordinary.

The Warren Buffett Way explains how Buffett goes about investing today. It takes a deep dive into his past and recent investments, explaining his thought process.

For the young adult who wants to invest in businesses, the insight into Buffett’s though process is tremendous valuable.

You Can be a Stock Market Genius

Individual investors have advantages that investors like Warren Buffett do not.

For young adults, who plan on doing the work required to beat the market, reading a book like You Can be a Stock Market Genius by Joel Greenblatt can help their chances.

This is a book many of the top investors of our day like, Michael Burry, David Einhorn, Dan Loeb, Bill Ackman, and Seth Klarman have all recommended.

R.J. Weiss
R.J. Weiss is the founder and editor of The Ways To Wealth, a Certified Financial Planner™, husband and father of three. He's spent the last 10+ years writing about personal finance and has been featured in Forbes, Bloomberg, MSN Money, and other publications.

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