A Random Walk Down Wall Street

Burton Malkiel makes the case that stock prices follow a random walk — meaning that past movements cannot predict future movements — and therefore most active fund managers cannot consistently beat a simple index fund. Originally published in 1973 and now in its 13th edition, the book covers every major investment theory, bubble, and strategy with the rigor of a Princeton economist and the clarity of a gifted teacher. It is the intellectual foundation of the index fund revolution.