Tuesday, March 24, 2009
Book Rec - When Genius Failed
Even though I lived/traded through the Long Term Capital stock mini-crash in 1998, the details of what happened never prompted my interest.
All I knew was that some big hedge fund imploded and it/*its counterparties*/*its investors* essentially got bailed out by the Fed - or so I thought. [And that my trading account got hammered at the time.]
Anyway, having recently met a family member of one of the protagonists, my curiosity in this subject was piqued. I procured Roger Lowenstein's book and must say that it's a great story, a great read, and more importantly an insightful window into today's markets, ravaged by leverage and credit crunches.
Wall Street really hasn't changed in 100 years - and it's probably unlikely to do so over the next 100 as well.