Yahoo Finance 7 Books Ramit Sethi Recommends To Build Wealth
If you want to build wealth, you need to know how to control your spending, handle debt and choose wise investments. Reading works from financial experts is one way to build your financial expertise so you can put your money to work. In a blog post, Ramit Sethi, personal finance advisor and author, suggested these seven picks that could help you build wealth.
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1. “I Will Teach You To Be Rich” by Ramit Sethi
Seth recommended his New York Times bestseller, which uses psychology to teach you how to make better money decisions in six weeks. Along with teaching investment and savings strategies, the book explores how to use credit cards wisely and spend your money consciously.
2. “The Bogleheads’ Guide To Investing” by Taylor Larimore, Michael LeBouef and Mel Lindauer
Suitable even for beginners, this book includes 23 short chapters that break down what you need to do to get started with investing. You’ll learn how to diversify and monitor your portfolio, handle taxes and more. Sethi highlighted how the guide’s language is easy to understand.
3. “The Smartest Investment Book” by Daniel R. Solin
While this is another good beginner-friendly investment guide, Sethi liked it, especially its focus on index funds. The book warns about risky investments and the challenges you might face when relying on a broker. It also provides four steps for beginning your investing journey.
4. “The Opposite of Spoiled: Raising Kids Who Are Grounded, Generous and Smart About Money” by Ron Lieber
Designed to help you teach your kids about money management, this book covers everything from allowances and materialism to college and work. Along with focusing on financial literacy, the book emphasizes teaching children good values, including charitable giving and a strong work ethic.
5. “Stocks for the Long Run” by Jeremy Siegel
Known for his long-term mindset, Sethi recommended this book for its focus on buying and holding stocks for a competitive return amidst ups and downs over time. Some highlights include plenty of historical examples, details on performance tracking and valuation and tips for building wealth.
6. “A Random Walk Down Wall Street” by Burton Gordon Malkiel
Also, taking a long-term approach, this book covers managing risk, maximizing returns and understanding the tax implications of various investments. It proposes that any investor can make a diversified portfolio that performs similarly to a professional one. Sethi wrote, “While I don’t necessarily agree with the entire book, the ideas presented between its covers are downright fascinating.”
7. “The Millionaire Next Door” by Dr. Thomas J. Stanley and Dr. William D. Danko
Sethi picked this book since it educates on wealth building through the interesting stories of successful people. Its premise is that there are seven factors that millionaires tend to share. Examples include being frugal, choosing your job wisely and seeking financial independence.
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This article originally appeared on GOBankingRates.com: 7 Books Ramit Sethi Recommends To Build Wealth
