Trade School

John believes the more you tune out the noise of the ‘talking heads’ in the mass media… and the more you immerse yourself in the writings of the greatest thinkers and strategists in the investment world today… the more successful you will be as an investor.
On this page John will post the books he recommends, both current and classic, that will give you an edge in understanding today’s economy and markets.

Security Analysis
by Benjamin Graham and David Dodd
The Bible of security analysis. If you are only going to read only one book, make this it.

Making Sense of the Dollar: Exposing Dangerous Myths about Trade and Foreign Exchange
by Marc Chandler

The Ascent of Money: A Financial History of the World
by Niall Ferguson

Options for the Beginner and Beyond: Unlock the Opportunities and Minimize the Risks
by W. Edward Olmstead

The ETF Trend Following Playbook: Profiting from Trends in Bull or Bear Markets with Exchange Traded Funds
by Tom Lydon

A Random Walk Down Wall Street
by Burton G. Malkiel
The history of risk analysis on Wall Street.

The Black Swan: The Impact of the Highly Improbable
by Nassim Nicholas Taleb
An iconoclastic, rock throwing, in your face rebuttal to convention risk analysis theory.

The Snowball: Warren Buffet and the Business of Life
by Alice Schroeder
The biography of the greatest investor of our time.

Extraordinary Popular Delusions and the Madness of Crowds
by Charles MacKay
The history of bubbles, from tulip mania, to the South Sea bubble, to the 1929 crash. Boy, does history ever repeat itself!

The Great Crash 1929
by John Kenneth Galbraith
A must read history about the big one. You’ll be amazed by the parallels with today.

Reminiscences of a Stock Market Operator
by Edwin Lefevre
Biography of one of the most famous speculators of the roaring twenties, who sadly committed suicide in a public bathroom in 1940. You won’t believe what they got away with in the pre-SEC days.

The Strategic Bond Investor: Strategies and Tools to Unlock the Power of the Bond Market
by Anthony Crescenzi
The bond side of the equation. You need to know where interest rates are going and how they will get there.

Economics
by Paul Samuelson
What you missed by not going to the Harvard Business School. Your classic education about Keynesian economics that lets you ignore all that fluff in the broker reports. He got a Nobel Prize for this.

Hot Commodities: How Anyone Can Invest Profitably in the World’s Best Market
by Jim Rogers
The former George Soros partner tells you why you’ve been buying all that copper, wheat, and gold.

Crash Proof: How to Profit from the Coming Economic Collapse
by Peter Schiff
Nicely outlines the rationale for moving out of the dollar an into foreign stock markets, gold, and silver, although he is a little extreme in his views of the future of the US.

Market Wizards: Interviews With Top Traders
by Jack D. Schwager
How the pros do it.

The Complete Guide to Investing in Commodity Trading and Futures: How to Earn High Rates of Return Safely
by Mary B. Holihan
The abc’s of commodity investing.

Liars Poker: Rising through the Wreckage on Wall Street
by Michael Lewis
My friend’s first book, what it is like to work at Goldman Sachs, except then it was Salomon Brothers. When it first came out many thought I had written this book under a nom du plum.

Beat the Dealer: A Winning Strategy for the Game of Twenty-One
by Edwin O. Thorp
How to win at Black Jack by card counting. I put myself through college on this book, and so did Pimco’s Bill Gross. Not so easy now. Every trader at Morgan Stanley was required to read this book. A nice introduction to probability analysis under stress.

The Money Game
by Adam Smith
How Wall Street Works. A peek into the Wall Street I grew up in during the sixties. How little has changed.

The Little Book that Beats the Market
by Joel Greenblatt
The traditional value approach to picking stocks


Other Worthy Purchases:

Greenspan’s Bubbles: The Age of Ignorance At The Federal Reserve
by William Fleckenstein

The Essential Drucker: The Best of Sixty Years of Peter Drucker’s Essential Writings on Management
by Peter F. Drucker

The End of the Free Market: Who Wins the War Between States and Corporations?
by Ian Bremmer

The Fat Tail: The Power of Political Knowledge in an Uncertain World
by Ian Bremmer

The Next 100 Years: A Forecast for the 21st Century
by George Friedman

When Genius Failed: The Rise and Fall of Long Term Capital Management
by Roger Lowenstein
Why you’re not shorting deep out of the money volatility in big size.

Against the Gods: The Remarkable History of Risk
by Peter L. Bernstein
How ancient trade routes grew into the global financial system we all know and love.

The Island: A History of the First Marine Division on Guadalcanal
by Herbert Laing Merillat

The Pacific
by Hugh Ambrose

The Victorian Internet: The Remarkable Story of the Telegraph and the Nineteenth Century On-Line Pioneers
by Tom Standage

Power, Faith, and Fantasy: America in the Middle East: 1776 to the Present
by Michael B. Oren

Dossier: The Secret History of Armand Hammer
by Edward Jay Epstein, Armand Hammer

Hiroshima
by John Hersey

iWoz: Computer Geek to Cult Icon: How I Invented the Personal Computer, Co-Founded Apple, and Had Fun Doing It
by Steve Wozniak

The Edible History of Humanity
by Tom Standage
The long term bull case for food, and why you own wheat, corn, soybeans, MOO and the DBA

The Great Crash Ahead: Strategies for a World Turned Upside Down
by Harry S. Dent, Jr.