Ahead of the best stock market books available today. The random walk hypothesis states that one cannot consistently beat the markets, so it makes more sense to build a balanced portfolio that matches market performance. This idea also supports the efficient-market hypothesis. Fundamental concepts in the book include technical and fundamental analysis, whether or not actively managed mutual funds make sense, and other tried and true investment theories. This updated version includes an introduction by Fisher’s son Ken Fisher, a successful investment professional in his own right. The lessons here track the company from $18 per share in 1965 to $297,600 per share as of the 2017 letter. If you can invest like Buffett, you should be on track to great investment success. Bubbles and market cycles are important to understand, and a well-formulated investment strategy can help you avoid the biggest pitfalls of the boom and bust cycle. Shiller argues that psychologically driven volatility is a risk in all asset markets, including the stock market. This updated edition of “Irrational Exuberance” includes a look at the stock, housing, and bond markets so you can better spot the next bubble and prepare yourself before it bursts.
