Summary of A Random Walk Down Wall Street

Looking for the book?
We have the summary! Get the key insights in just 10 minutes.

A Random Walk Down Wall Street book summary
Start getting smarter:
or see our plans

Rating

9 Overall

10 Applicability

9 Innovation

8 Style


Recommendation

The first edition of Burton Malkiel’s A Random Walk Down Wall Street appeared in 1973, a few years after the twentieth century’s first big computer technology bubble, the go-go era, popped. This, the newest and eighth edition, appears after the popping of the dot.com bubble, the last of the twentieth century’s great computer technology bubbles. Investors burned in the first bubble could have been excused; after all, they didn’t have Malkiel’s book. But it’s astounding how avidly Internet speculators threw aside all that Malkiel and others had taught them. This book belongs on every investor’s bookshelf, and ought to be consulted, or at least touched to the forehead, before any investment decision. Most investment books aren’t trustworthy, because their authors are salespeople who are really making a pitch instead of trying to inform you. Malkiel is disinterested. He is a teacher with the intellectual discipline of a true financial economist, and yet he writes as vividly as a good journalist. getAbstract recommends this classic: all you need to know about the market is between its covers.

In this summary, you will learn

  • the facts of investing life, without a sales pitch to distort the information.
 

About the Author

Burton G. Malkiel holds the Chemical Bank Chairman’s Professorship at Princeton University. He is a former member of the Council of Economic Advisors and serves on the boards of several major corporations, including the Vanguard Group of Investment Companies and Prudential Financial Corporation.

 

Summary

Define a “Random Walk”
When we say that stock prices are a “random walk” we mean that short-term price moves are unpredictable. This infuriates Wall Street professionals whose comfortable living often depends on people paying them for their supposedly superior knowledge of what the market...

More on this topic

Customers who read this summary also read

Warren Buffett's Ground Rules
Warren Buffett's Ground Rules
8
Security Analysis
Security Analysis
8
Odds On
Odds On
7
The End of Accounting and the Path Forward for Investors and Managers
The End of Accounting and the Path Forward for Investors and Managers
8
Warren Buffett and the Interpretation of Financial Statements
Warren Buffett and the Interpretation of Financial Statements
8
Investment
Investment
7

Related Channels

Comment on this summary