3 Books That Started My Investment Journey

Let's be honest: I never liked reading. 

If there is reading material online, why do you need books? 

Apparently, I was wrong. Books that you buy and keep will always provide a reference for you to read up. Each time you re-read the book, I don't mean read everything. What is do is i keep bookmarks of it to read up certain topics to remind myself.

You know sometimes you just forget certain topics but after reading back, you would refresh certain concepts of the topic? That's why I buy and keep books to help refresh memories. 

I also started reading a bit more when I was travelling extensively for work. I had to travel on long distance flights for 20+ hours for work. At first, I was just watching all the movies on the plane and that was so awesome. To watch movies released a few months earlier was like watching these movies for free. Whenever I see people reading on the plane, I would be chuckling to myself and wonder why would any one read on a plane? 

But then, I got bored of watching movies and started reading. Ah, the irony of life. Since then, I make it a point to read 30 mins to 1 hour a day. It is difficult but you just have to force it into a habit. 

However, if you are serious about creating an Incredible Investment Portfolio, here are the 3 Books that you have to force yourself to get acquainted with, No Matter What. 

These 3 Books change my perception on how to view Money and Wealth. 2 entirely different concepts but completely misunderstood by the mainstream media. 

Let's go though the 3 Books and let you know my thoughts on them:

1. Stock Market Investment in Malaysia and Singapore

This is the first investment book I ever read. It is really old, first publish in 1986 but I had the 1989 edition. The knowledge and concepts explained are very localised. This book formed my philosophy in stock investment with regards to Singapore Market. 

After reading this book, I decided not to invest in stocks in markets that I do not physically stay in. It emphasized on investing in companies that you are familiar with and are able to assess the local "vibes" or "market feels". If you are not reading up on the local news or not staying physically there, it will be difficult to assess the market conditions. 

This is one of the reasons why I sold all my South American Stocks in 2017. My work there was complete and I would not be physically there to assess the market conditions. The news that you read online and the news and market conditions when you are physically there are very different and very dangerous to invest if you can't grasp the "vibes". 

This is also one of the main reasons I don't invest in Malaysia. Given the political climate and if you do read up on Malaysia, there is a sense on instability in the country and these are uncomfortable conditions for retail investors in the long run. 

This book shape the following views I have for Singapore Stock Market. 

a) If your Time Horizon is short (10 years or less to retirement), you invest in blue chips Singapore Stocks with Dividend Yield of at least 6%. 

b) If your Time Horizon is 10 to 20 years towards retirement, You can start to invest in blue chip Singapore Stocks and build up consistently to a 80% Singapore Stock Dividend Portfolio. 

c) If your Time Horizon is more than 20 years, I would focus on the US Stock Market for aggressive growth. 

Note: Why Invest US Stock Market when you are not physically there? Here's why.

2. Rich Dad Poor Dad

I was extremely skeptical of buying this book. In fact, when I read the book, I borrowed from a friend to read because I didn't think it was worth buying. 

If I remember correctly I was in my early 20s when I read the book. I was so wrong.

It was a Game Changer. 

My thought process and perception on Money and Wealth for the better part of my adolescence was totally changed after reading this book. It changed my point of view so much that I was convinced and I bought a copy to keep it. I would refer back to certain topics every now and then to keep my mind refresh about it. 

It is hard to explain how this book changed my worldly view on Personal Finance, Stock Investment and Business. Just get a copy and read it. 

It is not a long read. It is simple and short book and shouldn't take too much of your time. 

3. Secrets of Self-Made Millionaires

Adam Khoo, our very own Singapore success story. 

I would say most of his concepts are slightly influenced from Rich Dad Poor Dad. But he styled his methods into his own and very localised for us Singaporeans. I would say the best book to read after Rich Dad Poor Dad because his business ventures are localised in Singapore and is very easy to relate to when you read it. 

If he can make it in Singapore, so can you right? 

But if Rich Dad Poor Dad can make it in US, what makes you think you can make it in Singapore?

So his personal journey to being a millionaire is very relatable and makes it more feasible within our grasp to make ourselves a success. 

Most of his philosophies and concept are very much in line with how I approached my Personal Finance and Stock Investments. 

In fact, this book has the largest influence in my thinking and strategies. 

Summary

If you really think 3 books is too much to read and you really had to choose, go for Rich Dad Poor Dad first and then Secrets of Self-Made Millionaires. 

They would shape your thinking on Personal Finance then Stock Investment. 

At the very basic, you need to get your Personal Finance in line before you step into the Investment Journey. 

However, "Stock Market Investment in Malaysia and Singapore" does help teach you a lot of stock market insights. 

If you can't get the book, you can contact me to lend you the book. Of course, you must return me when you finish. 

~tschuss