one of the best books I've read on the topic. Lewis is an excellent writer and even though we all know the big picture ending, I was still on the edge of my seat waiting to see what happens to the characters Lewis follows....
I have not read the print version. Some explanations of complicated financial instruments need to be reviewed or re-listened in order to sort out the complexity. There is not enough detail to fully understand, say, credit default swaps or collateralized debt obligations, but you can get the gist of it. I would not say audio is better except that I can listen while walking or at the gym. I have listened to the book 3 times.
I liked the personalized accounts of the people involved in the subprime mortgage shorting phenomenon, their foresight, and hearing about the risk they were taking.
Boggs did a good job of placing emphasis and expression in places where the plain text would not have, adding to the pleasure of the book.
The insanity of the subprime mortgage industry.
Highly recommended. I have a friend whose son wants to become a Wall Street trader. I think father should read and discuss this book together.
No comment don't know
No comment don't know
Inwalk two hours a day and was sad when it was over
V v fine bookk
There are so many great books out there, I try to steer clear of the mediocre ones and only read the best ones. Here's one that I'd highly recommend. The content of this book is fascinating. He does a fantastic job of delving into some interesting characters who gained early insight into the morass of collateralized debt obligations and the insanity of the sub prime debt market. The factual plot unfolds like scripted fiction. It's well written, very entertaining, and funny (I definitely laughed out loud several times). I now have a much better understanding of the sub-prime debt crisis.
Interesting descriptions of events and descriptions of characters.
Unfortunately this book leaves one big thing out of discussing the sub prime mortgage debacle. Sure, mortgages were sliced and diced, mezzanined, collateralized, renamed blessed triple A by rating agencies and resold to ignorants, It recognizes moral decay in the industry, but it still leaves one big issue out.
The biggest question who is buying crap no matter how it is dressed up.It omits pointing out the moral hazard that causes people to take insane risks; the knowledge that there is a government to bail them out at tax payer's expense. That these people in government basically have a gun on the productive tax slave, who will have to pay or face jail, arrest or death on resist to arrest. As long as this group of people exist, able to manipulate ad force a whole population into obedience, people will take these risks. Not one time in this book Fanny Mae and Freddy Mac are named. These two Government Sponsored Enterprises are the elephant in the room, that is not to be named. They insured the bulk of the sub prime mortgages. They were the biggest sponsors of the politicians before the mortgage collapse, the politicians that could deliver the income of their tax slaves to them.
That is not to be named. The violence and threats of violence in the system that we all take for granted and call rule of law and democracy, HAS to remain untouched. Until it is named touched and pointer out, no progress is to be expected.
Every day therefor new scandals are created with the serfs of the presidents being forced to buy the products of his lobbiests at the point of a gun. Yet every time we act surprised as this turns out to be a faulty product or service and explain the problem with greed in the industry instead of with the violence we approve of ourselves from the people we name government.
Real Man In OC
Great account of one of the biggest greed scandals of all time, and we ended up paying for it.
When the fools on the other side of the short were identified.
The cracks in the system.
I hope I can see the next one before it hits.
Amazing. Scary. I recommend this book for anyone who thinks they have the stomach to get all the way through. Up until now I thought I had a clue about what provoked the financial meltdown of 2008 but I did not. What we hear in the media is sanitized for us, the masses. I am completely blown away by this book. Makes me want to know more.
Michael Lewis sets this out very clearly so that even if I don't get all the nuances of the financial world, and I certainly don't, I still come away with a clearer picture of how this all happened. The big lesson I learned is that what I don't know can hurt me.
The narration is a big factor in keeping my interest. It was excellent.
It illustrates the irrational dimension of capital markets. I was taught and have long needed to believe that markets are useful for price discovery and valuation of assets. This story documents a dramatic departure from this dogma, one that I hope is temporary.
The Stanford doctor-turned-money-manager.......he illustrates the painful reality of being correct but unpopular. His tale lays bare the triumph of human social behavior over reason.
The investor conference where the wise but little known equity trader walked in to announce that the money-center bank stock had cratered, contrary to the advice of the guru speaker at the podium.
I was so engaged by this book, that my typical cynicism was triggered. I am so persuaded by the story, that I must force myself to ask whether I am being too gullible in believing it at face value. So far, I have not devised an ulterior motive for the author, so I am dwelling in belief, but I remain open minded. The author and I were in the same crop of new MBAs on Wall Street -- his Liar's Poker book spoke the truth as I saw it in the late 80s.It is so easy to long for the good old days ...... those days that I understand.......when the markets were not dominated by an increasingly concentrated field of institutional investors. I do not believe that day-traders are great additions to the investing cast of characters, but I do believe that a diverse and unconcentrated population of investors (with a substantial retail component) is necessary for the markets to regain their price discovery function. Methinks this is like preferring covered wagons to jet planes.The Internet has untold capacity to create market phenomena that we cannot yet imagine, and this gives me optimism that America may yet again have efficient, liquid, capital markets. However, we do not, here in the age of the events chronicled in this book, a time when index investing and high-speed algorithmic trading is king. The Big Short did not make me laugh or cry, but it made me grieve for the loss of the glory days when I was so proud of my country for its vaunted liquid capital markets. The Big Short sheds light on the A-list of 800 pound gorillas who really are the ones: calling the shots; with the ability to manipulate the markets; that are TBTF; and are in bed with all the right pols to be sure they get their way. Credit default swaps deconstructed the components of loans and bonds, and gave those components the ability to be valued for their precise contribution to the value of the aggregate asset. This is similar to the value-added chain between the well head and the retail gas pump. Perhaps what is happening with equity markets will eventually resemble a comparable deconstruction.Currently, money managers are motivated to beat their benchmarks -- period. There are so many degrees of separation between asset owners and the entities they invest in. CEOs know that there is no more passive capital than common equity. Coupled with index investing, it is quite understandable that the ones making buy and sell decisions do not behave like they genuinely own the risk. Ladle on top of that the myriad derivatives that stand between value creation and at-risk investing, one can believe the inconceivable facts that underpin the saga chronicled by Michael Lewis.
I am grateful to him for writng this book. After laughter, truth is a dandy medicine.
The book does a clear analysis of the steps leading to the banking crisis of the current century. It is easily understood without complex details.
The fact that bankers knew what they were doing was wrong on numerous fronts, but the lure of money was such an easy trade off.
This was my first Jesse Boggs's performance, but it was easy to follow.
The fact that the rating agencies continues to rate these junk issues as triple A when they were obviously nothing more than junk.
This makes one curious as to what other maladies pervade our economic system under the guise of capitalism.
This is a great explanation of the financial meltdown as seen through the eyes of a few who saw it coming. The story is absolutely fascinating and not boring at all. One glaring omission was the role that the government played in creating the mess. Not sure if it was intentional or not.