This book is easier to read and more informative than that other book (written by the ASX itself). My first impressions of the writing were good, based on the Table of Contents, which showed a logical chapter structure. Getting into the book, one thing that stands out is the case studies of several real life successes and failures of individual stocks over the years. This puts the book above theory or abstraction, and up into real life.
I enjoyed learning about the different types of risks for any given stock; a lot of beginners might think of financial risk, but there are others, such as legislative risk, which aren't usually thought of. This shows the expertise of the author, who writes in an easy-to-understand way. For a book like this, I think it could have been enhanced with a few more diagrams and flowcharts, to help the reader visualise certain concepts. But that's a minor issue given the other features in this book. For example, there was a good overview all of the different sectors that make up the ASX, and an entertaining bit on the jargon/euphemisms used by stock brokers to their clients.
Other pearls of wisdom are insights into pharmaceutical startups (i.e. explaining the reasons for long turnaround times with clinical trials), the danger of confusing a strong brand with financial strength, and the reason why losing stocks are often sold in June (opportunists take note). Finally, for the completionists, there's a comprehensive index - something you don't always see in financial books. For all these reasons, this book is the pick of the litter.
- Paperback: 272 pages
- Publisher: For Dummies; 3 edition (8 July 2016)
- Language: English
- ISBN-10: 0730320626
- ISBN-13: 978-0730320623
- Product Dimensions: 14 x 2.3 x 21.1 cm
- Boxed-product Weight: 295 g
- Average Customer Review: 7 customer reviews
- Amazon Bestsellers Rank: 5,802 in Books (See Top 100 in Books)