But Buffett’s very best investment—responsible for literally billions of dollars in profits over the years—was very cheap. Because it was a book. That’s right, a book.
In his 2013 letter to shareholders [pdf link], Buffett explained that a single book, The Intelligent Investor, written by his mentor Benjamin Graham was, “of all the investments I ever made…[it] was the best.” Buffett even named one of his sons after him.
In my own life I can say I had similar books. The magnitude was not the same, but in relative terms the impact was still there. Each one of these was for me, what the economist Tyler Cowen calls a “quake book.” They shook my entire world and then, as it happened, were responsible for a great deal of success in my career, relationships, and my happiness.
The first came when I was in college in the mid-aughts and I was invited to a small, private summit of college journalists that Dr. Drew, then the host of Loveline, was hosting. After it ended, he was standing in the corner and I cautiously made my way over and decided to ask what books he would recommend a young man like myself. The books he turned me on to were those written by the stoic philosophers Marcus Aurelius and Epictetus. I’d been going through a rough times and it was exactly what I needed. My life has not been the same since. This was a special event in my life but whatever you’re working on right now, whatever problem you’re struggling with, is probably addressed in some book somewhere written by someone a lot smarter than you.
People have been moving West, leaving school, investing their savings, getting dumped or filing for divorce, starting businesses, quitting their jobs, fighting, and dying for thousands of years. This is all written down, often in the first person. Read it. Maybe you are an entrepreneur running your own business and looking for an innovative marketing approach. Maybe you want to understand power and strategy. Or you simply want to be a better person. Trust me, the answer is there in books.
No one says: How do you have time to eat? How do you have time to sleep or have sex? You make time. It’s the stuff of life.
Step one is adding books to that list. The key to reading lots of book begins with no longer thinking of it as some extra activity that you do. It’s not a pastime, it's a priority. As Erasmus, the 16th century scholar once put it, “When I get a little money I buy books; and if any is left I buy food and clothes.”
Not to say you have to take it as far as Erasmus, who lived a bit of a monkish existence. Personally, books are probably my single largest expense each year—behind housing and food. Since dropping out of college, I’ve averaged well over $1,000 a year in books (even more in 2013 when I bought basically my entire Amazon wishlist for tax purposes). In a given year I purchase at least 100, but closer to 250, books.
While some might bristle at such an expense, it’s become quite natural—I budget for it like any other necessity. It’s not something you do because you feel like it, but because it’s a reflex, a default. Like breathing. Like drinking.
Step two is to turn reading into a daily and regular routine. Carry a book with you at all times. Every time you get a second, crack it open. You also need to constantly be discovering new books. As a simple rule of thumb, always ask the smart people you meet for book recommendations, as I did with Dr. Drew (and if you need more recommendations, I am your man). Don’t borrow books—build your library instead and take pride in that. It will be an investment that pays off in the long run. If you see anything that remotely interests you, just buy it. If you don’t get to read it immediately and it piles up, that’s ok. It’s part of building your "anti-library," or the stack of unread books that will humble you and remind you just how much there is still to learn.
But don’t just passively read. Make reading an active process. Make notes and comments to yourself as you read (this is called marginalia). If you see an anecdote or quote you like, transfer it to a commonplace book and use a system to organize and store all of it. For my last book, The Obstacle Is the Way, the actual writing of the book took only a few months, because the years of reading and research that went into were already there, systematized and ready to use, all thanks to my notecards and common place book.
Even if you are not a writer, having stories and quotes ready at hand will always come in useful, whether it is in conversations, presentations, memos, pitches, etc. Always strive to return back to the purpose of it. As the Roman philosopher Seneca said, we need to read so that “words become works.” I love reading more than almost anything, but even I’ll admit that it would be a waste of time if I just let it all accumulate in my head. More than that, I wouldn’t truly know what I’d read because I’d never put myself out there, applied it, or made connections.
My commonplace book and a collection of notecards.
Step three, be ruthless about acquiring knowledge through books. If you see anything that remotely intrigues you--just get it. Quit books that don’t hold your interest or deliver the goods. Swarm onto topics that do, even if there is no immediate relevancy to what you’re doing. After all, creativity comes from combining old ideas into something new. Reading a variety of topics gives you more ammo than your competition.
If something enthralls you and you want to deeply understand it, go at it. You don’t have to slowly trudge along through a book. Think of someone like Frederick Douglass, who brought himself up out of slavery by sneaking out and teaching himself to read, or Richard Wright who forged notes from his white boss so he could check out books from the library. Books weren’t some idle pursuit or pastime for these great individuals, they were survival itself.
Of course, many of the benefits of reading are intrinsic and personal. They allow us to relax, they teach us empathy, and provide quiet time in a noisy world. At the same time, a look at any random sampling of successful people finds a common trait: a love of books and an education that was primarily self-driven.
Many of these people lived thousands of years ago, when reading was considerably more difficult. They didn’t have mandatory schooling, they didn’t have Amazon or magical Kindles. Lincoln, for instance, often took notes on the books he read on pieces of wood he found. We live in a time where books from every age (many that were previously lost to history) are not only available, but cheap or even entirely free.
It’s up to us to take advantage of these circumstances. The only thing stopping us, is us.