Quotes About Finance

Sadly, it may be even worse for you to make $10 million, then lose back nine, than to making nothing at all! True, you may end up with a million (as compared to nothing), but it may be better had you got zilch. (This assumes, of course, that you care about financial rewards.)

George Soros, cuando hace una apuesta financiera, no deja de buscar ejemplos que demuestren que su teoría inicial es falsa. Tal vez sea esto la auténtica confianza en uno mismo: la capacidad de observar el mundo sin necesidad de encontrar signos que halaguen el propio ego.*

shows why the convex likes volatility. If you earn more than you lose from fluctuations, you want a lot of fluctuations.

we have never been richer in the history of mankind. And we have never been more in debt

seem to ignore the bad economic aspect of the transaction.

the total losses for the ten banks would be close to nothing.

and lack of vigilance on the part of the bank.

at any point in time, the richest traders are often the worst traders.

While a ten-year survival rate for a trader is in the single digits, that of a risk manager is close to 100%).

It netted a 4.5% revenue

Such income provides them some insulation from randomness.

The effect of the leverage is that a small loss would be compounded and would wipe him out.

The dip in the market was not very large. It was just that his leverage was enormous.

causing it to become heavily indebted, mostly to the United States.

Traders were replaced by computers, for very small visible benefits and massively large risks.

While errors made by traders are confined and distributed, those made by computerized systems go wild

who benefited from a market cycle.

The hidden risk transfer is not limited to bankers and corporations.

how rich you'd be today had you liquidated your portfolio at the height of the NASDAQ bubble).

Capitalism cannot avoid fads and bubbles. Equity bubbles (as in 2000) have proved to be mild; debt bubbles are vicious.

90 percent of all options expire as losses.

that meant that 90 percent of all short option positions make money. If I want to use options to be bearish, I sell calls.

George Soros, a complex man who thrived on rare events

And numerical prediction leads people to take more risks.