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Too Smart for Our Own Good: Ingenious Investment Strategies, Illusions of Safety, and Market CrashesHow investment strategies designed to reduce risk can increase risk for everyone and can crash markets and economies Financial crises are often blamed on unforeseeable events, the unforgiving nature of capital markets, or just plain bad luck. Too Smart for Our Own Good argues that these crises are caused by certain alluring investment strategies that promise both high returns and safety of capital. In other words, the severe and widespread crises we
How investment strategies designed to reduce risk can increase risk for everyone--and can crash markets and economiesFinancial crises are often blamed on unforeseeable events, the unforgiving nature of capital markets, or just plain bad luck. Too Smart for Our Own Good argues that these crises are caused by certain alluring investment strategies that promise both high returns and safety of capital. In other words, the severe and widespread crises we have suffered in recent decades were not perfect storms. Instead, they were made by us. By understanding how and why this is so, we may be able to avoid or ameliorate future crises--and maybe even anticipate them.
One of today's leading financial thinkers, Bruce I. Jacobs, examines recent financial crises--including the 1987 stock market crash, the 1998 collapse of the hedge fund Long-Term Capital Management, the 2007-2008 credit crisis, and the European debt crisis--and reveals the common threads that explain these market disruptions. In each case, investors in search of safety were drawn to novel strategies that were intended to reduce risk but actually magnified it--and blew up markets. Too Smart for Our Own Good takes a behind-the-curtain look at:
-The inseparable nature of investment risk and reward and the often counterproductive effects of some popular approaches for reducing risk-A trading strategy known as portfolio insurance and the key role it played in the 1987 stock market crash-How option-related trading disrupted markets in the decade following the 1987 crash-Why the demise of Long-Term Capital Management in 1998 wreaked havoc on US stock and bond markets -How mortgage-backed financial products, by shifting risk from one party to another, created the credit crisis of 2007-2008 and contributed to the subsequent European debt crisis
This broad, detailed investigation of financial crises is the most penetrating and objective look at the subject to date. In addition, Jacobs, an industry insider, offers invaluable insights into the nature of investment risk and reward, and how to manage risk.
Risk is unavoidable--especially in investing--and financial markets connect us all. Until we accept these facts and manage risk in responsible ways, major crises will always be just around the bend. Too Smart for Our Own Good is a big step toward smarter investing--and a better financial future for everyone.
Binding Type: Hardcover
Publisher: McGraw-Hill Education
Published: 12/05/2018
ISBN: 9781260440546
Pages: 464
Weight: 1.55lbs
Size: 9.10h x 6.00w x 1.70d
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4.6 ★★★★★
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Product Reviews
★★★★★ 1
One Star
Format: Paperback
Exactly the same as the free PDF I downloaded online for my student, only this costs $26 plus tax.
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Reviewed in the United States on April 3, 2017
★★★★★ 5
Great Read, and Awesome Resource.
Format: Paperback
Great Book to give insight to the blue team side.
It has some of that simple common sense stuff. But it takes that and puts it into a plan!
Very deep insight into the importance of being prepared and explaining why.
Also has some cool more advance advice to read up on.
Gives command line examples of different parameters to use and shows the result you will get.
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Reviewed in the United States on November 30, 2016
★★★★★ 5
Original review was 4 stars...
Format: Paperback
Simply because I didnt know what I was doing. This manual will grow with you. I have added and taken away some tips and tripsnof my own. Awesome read!
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Reviewed in the United States on October 17, 2017
★★★★★ 5
Great Resource to Have on hands for Security Analysts
Format: Paperback
Great Resource to Have on hands for Security Analysts. I have been using many of the techniques described in this book over the past few years but this book expanded on that knowledge a bit more than I was used to. It's great because it has all of the most common things one would typically run into on their day-to-day job as a security analyst. Not completely comprehensive but that's not the purpose of this book.
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Reviewed in the United States on September 26, 2015
★★★★★ 4
Great book
Format: Paperback
Nice companion to the RTFM. I have been in INFOSEC for a while and I found most of the book to be somewhat generic. My feelings may not apply to everyone else though. There seems to be an idea out there that everyone in INFOSEC sits around grepping Snort logs and/or TCP dumps; this simply is not the case. As an incident first responder the job is fairly straight forward: isolate and collect the logs. Everyone has their own methods I guess. Some OS'es require you leave the system connected before collecting logs this book does not cover that aspect. Not everyone can afford a SANS course so in that respect this condensed field guide is a plus+. Simply put; you cannot afford to not have this book. A must buy.
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Reviewed in the United States on October 11, 2014
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