25 Stupid Mistakes You Don’t Want to Make in the Stock Market – Book Review


By: David E. Rye (2002)

ISBN 0-7373-0617-3

Book Price: $26.95

Business and investing specialist

David E. Rye has contributed to the Wall Street Journal, Barron’s, Investment Business Daily, and many other publications. He is also the author of several books on business and investing, including the bestselling “Two for the Money.” He currently conducts financial seminars and teaches at the college level.

25 Investing mistakes to avoid

David E. Rye addresses 25 mistakes in as many chapters. He includes the following: being not teachable (Ch. 1), getting “hot tips” from wrong people (Ch. 3), knowing the value of stocks you buy (Ch. 8), buying cheap and nasty stocks (Ch. 17), learning from our mistakes (Ch. 21), purchasing according to feeling rather than the facts (Ch. 24).

Successful investing principles

David E. Rye has a no-nonsense approach, mixed with a keen ability to educate. He discusses investing success, relaying that “To succeed in the market, the first thing you need is common sense. You also need to make prudent, educated investment decisions rather than basing buying and selling decisions on hot tips and emotion.”

David’s underlying theme is responsibility! He applies this to investing preparation in, “You need to keep current on what’s happening in the market, study analytical techniques, and update your financial plan on a regular basis.”

With such a broad potential for reader’s investing experience, Rye excels at connecting on all levels. He addresses readers individually, instructing, “Select investments that meet your financial goals and risk tolerance level.”

Rye displays great depth of knowledge in his subject, pointing to specific, practical clues for picking stocks. He shares, “Sales figures are a key measure of a company’s strength or lack of it.” Also, “Management ownership of a significant share of the stock is a strong indication that management believes in the company.”

David takes time to define and explain terms as in the case of investment term, “PE” he indicates, “In order to evaluate companies against each other and themselves, investors long ago developed a measure called the price-earnings, or PE, ratio. You calculate the PE ratio by dividing a company’s price per share by its earnings per share.”

Expert insights on investing principles

David E. Rye reveals expert insights on investing principles to educate the keen and novice investor alike.

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