Posts Tagged ‘hedge funds’

Excerpt From Critique of Michael Lewis' Flash Boys

Excerpt From Critique of Michael Lewis’ Flash Boys

By The Banker | Blog Posts, Book Reviews, Wall Street

Pete Kovac, a friend who worked for a quantitative trading firm, got in touch with me soon after Michael Lewis’s Flash Boys came out last Spring to let me know he thought the book had serious errors. My friend became so alarmed at the Michael Lewis version of quant trading – which appears to have [&hellip

The Giffen Good Concept Applied To Investments

The Giffen Good Concept Applied To Investments

By The Banker | Blog Posts, How Not To Invest, Investing, Personal Finance, Wall Street

Editor’s Note: A version of this post appeared in the San Antonio Express News “So…Money” column. The only “C” I got in college was in Intermediate Macroeconomics, but I remember one economics term that I really loved — the “Giffen Good.” With ordinary, rational, economic behavior, we expect that when prices go up, people buy [&hellip

Options Part III - Delta Hedging

Options Part III – Delta Hedging

By The Banker | Blog Posts, How Not To Invest, Investing, Wall Street

Please see related posts Options Trading Part I – NFW Edition Options Trading Part II – The Currency of Options Trading   For the next little bit I’ll use a specific made-up example, of a fictional pet insurance company[1] with ticker symbol PAWS.[2] Let’s say PAWS shares trade at $100 per share, and I am [&hellip

Batman strikes - Some Thoughts on Short Sellers

Batman strikes – Some Thoughts on Short Sellers

By The Banker | Blog Posts, Investing, Wall Street

In the bad old days of the 2008 Crisis, a casual reader of the financial news might have been fooled into thinking that “short-sellers,” those financial firms that bet on the price of some financial instrument (like a stock, or bond, or currency, or commodity) going down, rather than up, ranked on the financial attractiveness scale somewhere [&hellip

Book Review: Diary Of A Very Bad Year

Book Review: Diary Of A Very Bad Year

By The Banker | Book Reviews

I’ll admit to two large biases before praising Diary of a Very Bad Year: Confessions of an Anonymous Hedge Fund Manager. First, I prefer a personal account by a financial practitioner, rather than a financial journalist’s perspective, nearly every time. This preference, after all, underpins my idea with the Bankers Anonymous site itself. The acronymic [&hellip