Investing | February 2023 | Can Skip | Beginner
Arguably, this is one of my least favorite books that I’ve read. To the person who gifted it to me, I still appreciated the thoughtful gesture (thank you), but I found the investment advice lacking. The book begins well by exploring the history of investing and different investment strategies. However, its main premise—that investing in large indices is always superior due to the efficient market hypothesis—seems overly theoretical to me. Personally, I have reservations about the efficient market hypothesis; while some argue that all securities are accurately priced, I believe that while some may be fairly priced, securities reflect the average investment sentiment at a given time. Claiming securities are accurately priced implies perfect prediction of the future, which I find unrealistic.
Overall, I felt somewhat disillusioned after reading this book, though that’s my own responsibility. There are some valuable insights to glean, but I would caution against it if you’re aiming for a career focused on finding mis-priced securities. You might appreciate this book if you’re a strict adherent to traditional finance principles.
