How Not To Invest: The ideas, numbers, and behaviors that destroy wealth - and how to avoid them

How Not To Invest: The ideas, numbers, and behaviors that destroy wealth - and how to avoid them

Published: 3/18/2025
4.6176 reviews
EnglishView on Amazon

Summary

Focuses on identifying and avoiding common investment mistakes driven by psychological biases, emphasizing error prevention for financial success.

Description

This book was designed to reduce mistakes. Your mistakes with money. Tiny errors, epic fails and everything in between. You can do thousands of things right, but make just a few of the errors we discuss, and you destroy much of your portfolio. If you could learn how to avoid the unforced errors investors make all the time, you would make your life so much richer and less stressful. The counterintuitive truth is avoiding errors is much more important than scoring wins. How Not To Invest shows you a few simple tools and models that will help you avoid the most common mistakes people make with their money. Learn these, and you are ahead of 98% of your peers. Make fewer errors, end up with more money. Barry Ritholtz lays out the most common errors investors make. He reveals his favorite mistakes, including the lessons we can learn from some of the wealthiest and most error-prone investors. We all make mistakes. The goal with this book is to help you make fewer of them, and to have the mistakes you do make be less expensive. Read more

Level
Well-written, concise, engaging, accessible for novice and experienced investors, some financial terminology.
Core Concepts
Behavioral finance
risk management (avoiding wealth-destroying mistakes).
Skills You'll Develop
Critical thinking regarding investment decisions, recognizing and avoiding common pitfalls, more purposeful investing.
Relevance to Finance Areas
Personal finance
investment management.
Real-World Application
Direct real-world application for anyone investing, uses real-world examples and anecdotes.