In this buzzy world where everyone talks about AI, bitcoin, and other trendy technologies, as investors, we always think “Is the intelligent investor still relevant”.
In short, the answer is yes. Reading about intelligent investors is still relevant. If you’re interested in why this book still works, then we’re here to explain some genuine reasons that make your investment decision on the right path, and it doesn’t matter how technologies evolve.
So Let’s start.
Table of Contents
Is the intelligent investor still relevant?
Timeless investment principles:
In this book, the author hasn’t given us a tool that we can use for a certain time. Benjamin Graham (the father of value investing) expressed the importance of certain valuable investing principles like margin of safety and long-term investment.
Graham also bifurcates the difference between speculation and investment.
In today’s world, everyone is engaged in learning how to forecast stock prices in the short term by using news gossip, etc. Hence, few people talk about whether it is worth investing in a particular company for more than 10–15 years. That’s why reading Intelligent Investor is worth it.
The psychology of humans works differently in terms of investment. Most of the time, buying and selling stocks depends on the mood of the majority of investors. Graham insists investors make decisions based on data, charts, and financial reports rather than following others.
Real-life examples in simple words
Rather than using jargon and technical concepts, Graham used words that are easy to understand, even if you’re a potential investor.
That’s why, for those who want to start their investment journey and acquire the basic principles of investing, it is a wise investment to purchase this book to begin their investment journey.
This is the core of this book, and this is still relevant today because to be a successful investor, you have to choose a stock that is available at a discounted rate, but futuristic value is more important.
In other words, this book teaches you, through various examples, how to purchase valuable stocks at a lower rate.
You won’t believe it, but the reason behind Warren Buffett’s success is that he picked up valuable stocks at an early stage of his life, and they compounded over consecutive years.
Financial reports show the financial health of the company. Graham’s prime focus is to understand the company in depth using its financial reports before investing.
The balance sheet, income statement, and cash flow statement are three significant reports an investor should analyze before making long-term investments.
According to Graham, short-term investment is a trap and is driven by the emotions of traders. If you want compounding effects in your investment, then think long-term Perspective.
Recommended by Warren Buffett:
Learning from experts is considered the best form of learning. In various podcasts and interviews, Warren Buffett says he learned the principles of investing from Benjamin Graham (the father of value investing). That’s why people always rely on this book.
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Is the Intelligent Investor worth reading?
Yes, The Intelligent Investor is worth reading because all the principles given in this book are universal. The universal principle means it applies to almost every financial tool.
Overall, the market runs based on greed and fear, but after understanding the principles of investment, you can invest in the long run.
Online vs. offline reading Which one should I choose?
Reading online can be distracting, and you may miss the key learnings of the book. According to Bill Gates, paper reading is more beneficial than online reading.
So overall, offline reading is worth it.
Alternatives to the book “The Intelligent Investor”
A Random Walk Down Wall Street is one of the best alternatives for the intelligent investor because it teaches not to follow short-term investment strategies and because no one can predict the fluctuations of the market.
If you have already read Ben’s book, then you can go for “A Random Walk Down Wall Street.”
Does Warren Buffett recommend The Intelligent Investor?
Yes, Warren Buffett recommends reading The Intelligent Investor, written by Benjamin Graham.
Who is the most accurate investor?
Warren Buffett is considered one of the most accurate investors.
Who is the smartest stock investor?
David Swensen and Warren Buffett are considered the smartest stock investors.
Who is the king of investing?
Warren Buffett is the king of investment in history.
Who is the most successful investor alive?
Again, Warren Buffett is one of the most successful investors alive because of the key learnings of Ben Graham and his insights into the stock market.
Conclusion: Is the intelligent investor still relevant?
Yes, reading The Intelligent Investor is still relevant because the principles presented in this book are universal. Most people act based on fear and greed in their investment journey. Even Warren Buffett suggests reading The Intelligent Investor if you want returns at a compounding rate.
So overall, reading Intelligent Investor is still relevant today.
Thanks for reading.