The Motley Fool

2 Smart Investing Gifts for Christmas

Christmas is coming soon.

In the spirit of giving, there can be gifts with an investing twist too. In a recent podcast, my Foolish colleagues, Alison Southwick and Robert Brokamp, had shared the favorite investment books from the investment team at the Motley Fool’s headquarters in the U.S.

These books can make for a great gift of smarts, as Alison had put it, because they provide solid investing education. They are gifts that “no one can take away from you” once the lessons are absorbed.

Some of the books mentioned were geared for folks who may be beginning or middling investors. Let’s take a look at two of them.

Book No. 1: One Up On Wall Street by Peter Lynch – click here

Book No. 2: The Little Book that Builds Wealth by Pat Dorsey

This book was written by Pat Dorsey, who was the former Director of Equity Research for investing research outfit Morningstar.

The Little Book that Builds Wealth may be best known for its focus around companies with a trait called economic moats. This characteristic could come from a number of things, including a strong network effect.

Let’s take Singapore Exchange Limited (SGX: S68) as an example. The bourse that the company operates is a key marketplace for local investors to buy and sell shares of listed Singapore companies as well as foreign ones.

The strength of Singapore Exchange’s business may be dependent on the number of companies and stock market participants that it can attract. A network effect can manifest itself in Singapore Exchange’s business in this manner: More listed companies may lead to more stock market participants that trade on the bourse, which may then lead to more interest from companies wanting to list in Singapore.

There is much more to learn from Dorsey. So, take a look at both books if you haven’t gotten to them. Or better still, pass them on to someone who may be looking to learn about investing.

Meanwhile, you can learn more about investing through a FREE subscription to Take Stock SingaporeSign up here for The Motley Fool's weekly investing newsletter that will teach you how to GROW your wealth in the years ahead. 

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Chin Hui Leong doesn’t own shares in any companies mentioned.