Required Reading for New Investors

After today's meeting it was pointed out that the members of the club would like to learn a little bit more about investing in a specific format. Therefore, I am recommending that you pick up a copy of Peter Lynch's book Learn to Earn.

This is what Amazon.com has to say about Learn to Earn:

One of the best managers in the history of mutual funds, Lynch is certainly the person to help people choose the right stocks and understand the market. More so than One Up on Wall Street or Beating the Street, this Lynch book is for beginning investors of all ages. Lynch and coauthor John Rothchild are family men who are worried that teenagers aren't learning enough about the importance of American companies in improving lives and creating wealth. Lynch questions why students are taught that Hamlet was a tragic hero and Napoleon was a great general, but they don't know that Sam Walton founded Wal-Mart. In fact, Lynch's grasp of the past is one of the strengths of the book. One of the best chapters is "A Short History of Capitalism," a witty and homespun look at characters like Karl Marx, the Communist who believed capitalism was doomed, and the robber barons, the shrewd railroad magnates of the late 19th century who amassed huge fortunes by manipulating the markets.

While I agree with 70% of what Mr. Lynch has to say about the stock market, I'm 100% in agreement about his performance as a stock market investor. Mr. Lynch averaged 29% a year during the time that he was the Fidelity Magellan mutual fund manager. Such investment performance is exceptional for anyone to accomplish.

If there are any ideas or concepts that you wish to discuss about Learn to Earn then please use the email or comment section of this blog.

Please share this information with anyone you think might find this useful.

• Email me.