You Can Be a Stock Market Genius by Joel Greenblatt shows you how to “Uncover the Secret Hiding Places of Stock Market Profits.”
The author, Joel Greenblatt, is the founder of New York-based Gotham Capital, which started as a hedge fund in 1985 with $7 million in assets under management. Gotham racked up annualized returns of 50% for the next 10 years.
So with a performance record like that, you’re probably wondering…
Is You Can Be a Stock Market Genius worth reading? In this book review I’ll explain why I enjoyed “You Can Be A Stock Market Genius.” I truly believe the title is the worst part of the book. So let me tell you why:
Why You Should Read “You Can Be A Stock Market Genius”
You Can Be a Stock Market Genius is a one-of-a-kind book. It does a great job illuminating special circumstances that stock investors can use to improve their profits. I have not seen another stock market book that focuses so exclusively on profit-rich opportunity. Joel Greenblatt really tries to stack the deck in your favor with this book.
So what specifically does “You Can Be a Stock Market Genius” cover?
The book starts off with a brief introduction about value investing and the author’s approach to investing. Then each chapter details a different kind of special situation (like mergers, recapitalizations and bankruptcy’s) that you can invest in to earn ample returns.
And another thing worth mentioning is the way the book is geared directly for the individual and retail investor. Throughout “You Can Be a Stock Market Genius” the author explains how the individual investor can find an edge against hedge funds and smart-money by investing in these particular circumstances. It’s really quite interesting – and it’s an aspect of investing that I hadn’t ever seriously considered before reading “You Can Be a Stock Market Genius.”
But that’s not even my favorite part…
The Best Part About “You Can Be a Stock Market Genius”
You Can Be a Stock Market Genius has many great aspects (except maybe the title). But there’s one thing I like about the book more than anything else – and that is the way it’s laid out to be actionable for the average investor.
You can tell the author put a lot of thought into how the book was written, because it’s designed so that you can get a lot out of it. Specifically:
Each chapter starts with an overview of a “special situation” that you can use to earn outsized returns. Then the chapter progresses with in-depth case studies of real life investment examples the author participated in during his investment career. He goes into quite a bit of detail explaining the way he found each idea, and why he went ahead and invested. The book even talks about when to sell stocks (or when you buy and hold is your best bet). The end of each chapter also has a useful checklist that you can reference to get the core concepts out of each chapter.
So you do you see why this book is so applicable to the average investor? Well, I guess that’s why Jack Schwager recommended it. And now that I’ve read it I can recommend it to you, too.
The only negative about “You Can Be a Stock Market Genius” is that the chapters are a little long. But it’s not like they are hard to read. The examples are explained in easy-to-understand English. And the information is logically structured. So it’s actually quite easy to get through. To make the book more useful…
The end of “You Can Be a Stock Market Genius” also includes a glossary and some of the author’s favorite resources for finding special situation stock ideas. It’s helpful to get an idea of where professional hedge fund managers look for idea – and the surprising truth that they’re not much different than where you and I might look. So is You Can Be a Stock Market Genius worth reading?
You Can Be a Stock Market Genius – The Final Word
I can confidently say that I enjoyed reading this book, and if you’re eager to explore special investing opportunities on your own, this might be a good fit for you. If you’re excited to learn from an easy-to-understand stock market expert, then it’s definitely worth reading.
Buy You Can Be a Stock Market Genius on Amazon to save a couple of dollars from picking it up at your local book store.
You Can Be a Stock Market Genius Details and Video Book Review:
Author: Joel Greenblatt