Personal Finance

8 books that can help you increase your net worth

Key Points
  • If you want to improve your saving and investment acumen, hitting the books is one way to start.
  • Financial advisors offer their suggestions for what to read to improve your saving and investing habits and boost your understanding of economic and market trends.
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If you're looking to boost your financial IQ this summer, reading these books is one way to get started. asked financial advisors which books they'd recommend to increase your understanding of how you should invest and manage your money. Here are their top picks.

"I Will Teach You To Be Rich"

This book by Ramit Sethi provides a six-week program aimed at young adults ages 20 to 35.

Financial advisor Michael Kitces recommends the book because it not only teaches good habits, it also emphasizes the value of reinvesting in yourself.

"I find most personal finance books skip this oh-so-important aspect of trying to improve your financial situation by focusing on your earning power, rather than just your expenses or your portfolio investments," Kitces said. "That's what puts his book high on my list."

"The Ultimate Financial Plan: Balancing Your Money and Life"

This financial planning book by Jim Stovall and Tim Maurer covers your overall financial situation, including your cash flow, insurance coverage and estate plan.

"This book is good for the DIY-ers who want take tackle and have the time to manage their own financial household," said advisor Rianka Dorsainvil, founder and president of Your Greatest Contribution.

The book can also help you if you are already working with a financial advisor or planner.

"You will be able to bring ideas and thoughts to the table so it can feel like more of a partnership," Dorsainvil said.

"The Millionaire Next Door"

Written by Thomas J. Stanley and William D. Danko, this book examines how truly wealthy Americans often live frugal lifestyles and rarely show off their wealth with flashy spending.

"It lays the foundation, and shows the impact of how living within your means and spending less than you earn can give you the financial freedom at an early age," Dorsainvil said.

Reading the book should give you an understanding of how all decisions – from buying a home to a car – impacts your long-term wealth, according to Dorsainvil.

"Think and Grow Rich"

Napoleon Hill's book was first published in 1937 and draws lessons from rich men of that era, including Andrew Carnegie, Thomas Edison and Henry Ford.

The book teaches you the "mindset one needs to become wealthy," according to financial advisor Ivory Johnson, founder of Delancey Wealth Management in Washington, D.C.

"Our mind is incredibly powerful and thoughts turn into reality," Johnson said.

"The Rational Optimist: How Prosperity Evolves"

Author Matt Ridley makes the case in his book for increased prosperity this century, in spite of what pessimists say.

That message, according to financial advisor Tom West, a partner at Signature Estate & Investment Advisors in Tysons Corner, Virginia, can help investors who shy away from the market because of their fears of what could go wrong.

"Ridley does a masterful job of contextualizing the progress of modern society in an accessible way, laying the groundwork for rationally expecting the world of tomorrow to be materially better," West said. "The book was published after the financial crash but now seems just as timely."

"Make Your Kid a Money Genius (Even If You're Not)"

Beth Kobliner's book is aimed at helping parents of children from toddlers to young adults teach money management.

Financial advisor Diahann W. Lassus, president of Lassus Wherley in New Providence, New Jersey, recommends the book because it uses "language that is easy to understand without the alphabet soup we can get caught up in."

The book addresses various financial topics including charitable giving and breaks down advice by age group.

"It is a valuable reference that will guide the parent at each stage of the child's life," Lassus said.

"The Elements of Investing: Easy Lessons for Every Investor"

Legendary investors Burton G. Malkiel and Charles D. Ellis provide basic advice on investing and saving in "The Elements of Investing."

"This books distilled all of the best investment insights from each author's classics, 'A Random Walk Down Wall Street' and 'Winning The Loser's Game,' while also including personal finance and saving advice," said Peter Lazaroff, co-chief investment officer at Plancorp in St. Louis. "This book is great for beginners looking to get a better grasp of how to invest for long term goals."

"The Most Important Thing: Uncommon Sense for the Thoughtful Investor"

Howard Marks, co-chairman of Oaktree Capital Management, shares his investment philosophy in his book, which includes his personal recollections as well as investment advice.

Louis Abel, chief investment officer at First Foundation Advisors in Irvine, California, said it is "one of the best books on value investing and investing in general."

He said the book is required reading for all of the financial advisors at his firm and is "suitable for both sophisticated and amateur investors alike."

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