So, you’ve paid off your student debt from law school and maybe paid off a mortgage and you have some money left. Should you invest?
The question isn’t whether or not to invest but how to invest. If you want to retire at the same standard of living you enjoy now, it is essential to put something on the side for retirement as soon as you start working as a lawyer.
Putting aside money doesn’t mean putting it in a bank. The fact is interest rates are not keeping up with inflation. Even with current volatility, stocks continue to be strong. The advantage of investing in the stock market is that even when the economy is slow, there is always some sector that will perform well.
However, you don’t have to limit your choices to stocks. Think about investing in precious metals, real estate, cryptocurrencies, art, or anything that can appreciate in value.
To get started with investing, the following are the best investing books for lawyers. Do some research and decide what investment vehicle and style is right for you.
- A Random Walk Towards Wall Street–Burton G. Malkiel
- Common Stocks, Uncommon Profits–Philip A. Fisher
- The Psychology of Money–Morgan Housel
- The Little Book of Value Investing--Christopher H. Browne
- Stay the Course: The Story of Vanguard and the Index Revolution–John C. Bogle
- Warren Buffett’s Ground Rules: Words of Wisdom from the Partnership Letters of the World’s Greatest Investor–Jeremy C. Miller
- The Millionaire Fastlane–MJ DeMarco
A Random Walk Towards Wall Street–Burton G. Malkiel
This classic is in its 12th edition and it has been the initial introduction for many successful investors. This book outlines the basics of stocks, bonds, and physical assets, such as gold and coins. Malkiel is chairman at the Chemical Bank and Professor Emeritus of Economics at Princeton University.
Common Stocks, Uncommon Profits–Philip A. Fisher
Take a page out of Warren Buffett’s favorite book on investing. Common Stocks, Uncommon Profits was first published in 1958 and its advice is as valuable as ever. Legendary investor Warren Buffett has endorsed this book which outlines principles of growth investing and is a handbook on how to research assets that will return the most value.
The Psychology of Money–Morgan Housel
Let’s be honest–our approach to investing is not always a perfectly rational one. This book shows examples of how emotions and intuition come into play when investing and how investors can use their hunches to their advantage.
The Little Book of Value Investing--Christopher H. Browne
Did you ever see a company that seemed underrated, one that you felt had great potential? This is the logic behind value investing, which involves investing in assets that are undervalued and riding the wave when they increase in value. This book will help you spot the best assets for value investing and strategies to make this investment philosophy work for you.
Stay the Course: The Story of Vanguard and the Index Revolution–John C. Bogle
For those who are interested in index funds, this book is ideal. It is a first-hand account of how Bogle increased the value of his company from $1.4 billion to $5 trillion in assets. This book is part biography and part introduction to index fund investing.
Warren Buffett’s Ground Rules: Words of Wisdom from the Partnership Letters of the World’s Greatest Investor--Jeremy C. Miller
Maybe you have read Philip Fisher’s book mentioned above as Warren Buffett’s favorite investing book. Why not read advice directly from Buffett himself gleaned from letters to his partners? This is candid information from the world’s top investor with advice anyone can follow and apply to investing.
The Millionaire Fast Lane–MJ DeMarco
We are often told that building wealth should be done gradually. Although this is true, there are ways to put these funds in the fast lane and to make your first million faster. Don’t wait until you retire, but use these strategies to build wealth now.
This is just a shortlist of the wealth of investing books available. The list can serve as a springboard to further research and reading. Your investing style depends on your current income, financial obligations, and goals. Researching a method of investing and finding which strategies work for you can yield rich rewards.