We received an email yesterday from a reader who asked which edition of Benjamin Graham’s Security Analysis we recommend. In our opinion we find the 1940 edition to be the premier copy due to changes made from the first edition published in 1934. There was much change throughout the investing community in the 1930’s and Graham illustrates these changes in the 1940 edition. Also, it doesn’t hurt to have Warren Buffett proclaiming this to be the best version of the text.
We highly recommend any value investor to read this text as it thoroughly goes through both fixed income and equity valuation.