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Book Review: A Random Walk Down Wall Street by Burton Malkiel
A Random Walk Provides Common Sense Advice for Every Investor

By , About.com Guide

A Random Walk Down Wall Street book cover

Book Title: A Random Walk Down Wall Street – Revised Version Compare Prices
Author: Burton G. Malkiel

Readability: Easy to read if you are into the topic.
Technicality: Provides technical information in terms you can understand.
Provides Practical, How To Knowledge On: How the average investor can understand the pricing of stocks, the history of Wall Street, and how to use this information to go about making wise investment decisions.

Summary: A Random Walk Down Wall Street provides an excellent overview of the facts and fiction around the pricing of the stock market, as well as insight into the irrational investor behavior that causes stock market bubbles. When finished reading, you’ll have solid, practical advice that you can use to make smart investment decisions.

Burton Malkiel does a fantastic job of providing information on everything you need to know about making smart investment decisions. He educates you, and explains concepts like fundamental and technical analysis, the trade-off between risk and reward, modern portfolio theory, and the efficient market hypothesis. In addition he discusses practical things like behavioral finance, annuities, index funds, investment fees, and seeking professional advice.

Downside: Honestly the only downside to A Random Walk Down Wall Street would be the length of the book, and the enormous amount of information it contains. Malkiel’s book contains so much good information that some may find it a bit overwhelming. You could spend a lifetime just applying the advice in this book and it would serve you well.

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