Stock Market Now!A Mathematician Plays the Stock Market
- ISBN13: 9780465054817
- Condition: NEW
- Notes: Brand New from Publisher. No Remainder Mark.
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animated U.S. writers in mathematics, a witty and insightful book on the stock market and the irrepressible our dreams of wealth.
A mathematician plays the stock market , the acclaimed author John Allen Paulos demonstrates what the tools of mathematics can tell us the vagaries of the stock market. Busy brand stories (vignettes, paradoxes and puzzles and even a film treatment), Paulos addresses every thinking reader’s curiosity in the market: Is it effective? Is it useful? Is there anything in the technical analysis, fundamental analysis and other methods that allegedly tested stock selection? How can risk be quantified? What are the most common fraud? What to do to shed a light to fractals, network theory, and common mental weakness in investor behavior? Are there methods for investment actually exceeded the major indices? A deeper understanding of mathematics can help beat the odds?
All these issues are devoted to scholarships, research that a newspaper Paulos Mathematician and Innumeracy read favorite chair with both mathematicians and readers how think, want. Paulos also shares the cautionary example of his own long and disastrous relationship with WorldCom. In the tradition of a Burton Malkiel’s Random Walk Down Wall Street and Jeremy Siegel Stocks for the Long Term of this ironic and enlightening book is not for everyone, or investors, who follow the markets, or know someone who does.
A Mathematician Plays the Stock Market
If you want an objective view of the stock market, they are comfortable with math and enjoy a little irreverence in your investment reading, you’ll love this book. The material is accessible to any person who has no liability Algebra. Professor Paulos minimizes the formulas so that instead of anecdotes, mind games simple and practical examples.
What does the delightful book is a modest mood. I remember reading a book in which a writer, the open and fun of his own shortcomings as an investor. Only Andy Tobias comes anywhere near. The joke book is the teacher’s disastrous obsession with buying WorldCom’s stock with borrowed money, before it became clear that the company reported earnings of more wishful thinking than reality to do. In this example that the book is also done to enlighten the reader as it shows how easily our emotions and instincts can lead us astray, although we understand how the stock market such as Professor Paulos.
dozens of stock market books that have tried the “numbers have to explain”, said the investment aspect of the stock market. None of them fall, as does a lot of land, or have the same force with this book. I was very impressed by the depth of reading, this book reflects that impressed. While not an academic book, the result is impressive.
The point is that the market is much more complicated than one can hope for is to understand, and probably more volatile than most people comfortable. Professor Paulos provides potential for both funds (investment rate) the active portfolio diversification and the use of derivatives as insurance against major risks.
One of the many brilliant math examples shows how some games are not won with “success” strategies, but allows for some combination of the two “failure” strategies will be successful. With this point of the wonderful idea, a counter was better than anything I’ve read the words on the subject.
By inserting in his book on WorldCom’s example, Professor Paulos has a strong individual and market psychology. Although not a psychiatrist or psychologist, the book is rich in material about the psychology of how markets work and why investors make mistakes. For me, the last lesson that a stock market approach to be emotionally fit well. . . or never properly implemented.
Ultimately, the success of assets to invest properly, everyone will bring irresistible you will not find too long, that compulsion hits them. I was very happy again that outperform index funds investing as a way of ensuring that burned over 90 percent of professional portfolio managers, while in deep sleep at night is available.
After you finish enjoying the book, I suggest you think about anything else that you commit your money in a larger extent by their emotions when you feel the way of calculating a benefit. How can you change your approach in this area are other more emotionally and financially rewarding?
Donald Mitchell Co-author of the 2000 percent solution, irresistible growth enterprise and competitive advantage Ultimate
Rating: 5 / 5
I’ve read several reviews of this book, and I think some of them a bit to give the wrong impression of what happens in this book. It is not the selection of actions, is primarily an overview of the various theories of behavioral finance and investment psychology. In particular, it focuses on the human form psychological weakness can exclude people (individually and in full), which in its own interest. The book no longer supports the efficient market theory, since it supports technical analysis (eg, the book has a bruised in both
The book does a good job controlling the number of human psychological weaknesses, and how they can invest in the stock market influence, including the effect of “anchor”, “availability error” “confirmation bias”, “status quo bias” and “impact of the Foundation.” I have no data on these issues of great use to be, and from reading the book 5 months ago, tried to check regularly (hopefully minimize) its impact on my own investment decisions.
Paulos does a great job of unmasking the idea that a particular formula may lead stock market success. There’s a quote: “If you’re looking hard enough, you’ll always find some seemingly effective approach that resulted in great benefits for a specified period or on a particular sector.
In total, Paulos is the conclusion that people are too obsessed with short-term results, and people still have a set of fixed preferences in which coolly and rationally based their investment decisions. But because of the prevalence of fashion, fashions, imitative behavior, etc., people often act irrationally. His book provides a nice framework for investors to review its own decision-making process (hopefully) to improve their performance.
There are a number of other books, readers will find interesting / may be useful, including:
Belksy – “Why Smart People Make Big Money and how to correct mistakes “(more behavioral finance discussion)
Dreman – and changes Investment Strategies: The Next Generation” (the author uses the theory of behavioral finance, including those referred Paulos, supports the improvement of returns)
Whitman – “Value Investing” and “The Aggressive Conservative Investor” (author has a deep analysis suggests that a focus on the prevention of short-term gains)
Rating: 4 / 5
This book would have been “an intelligent person who lost money in stocks and explains why it can not be his fault because he is so smart.” My criticism of this book is that it’s terrible, demonstrating an understanding of trading activity through. It is not (primarily) a move to the market. The core competencies of risk control of a licensee. This is not a term in this book, other academic book I read, mentioned in one of the “throw a dart, and the analysis is” the books on the market. An arrow that tells you when to take a loss or profit, if I had to run and did not want to believe. Incidentally, an arrow that would have made better use of risk control, then WorldCom, Paulos, in his shop. Risk control is the heart of commerce. I think a good trader could be in view of the situation by tossing a coin and he / she would earn more money. This is because traders are also risk management.
So the book loses the important point of commerce. It has a number of stories and some information, some interesting and some silly. At one point, said you can not make money because the market is a random walk (Markov) property. Later in the book explains how to earn money because of the regression mean. The two are not together. Taleb book makes all the points of understanding of this book and not “explain irony, since it is impossible to make money, because the author does not. By the way, my experience in () Master’s in mathematics and business for life. I leave you with the words of Chuck Smith said the trade to a multitude of trade, but perhaps relevant to Paulos et al: “This is not rocket science Surgery
Rating: 1 / 5
I am surprised and happy that someone whose only experience of investing in shares, bought Worldcom and a half down “to keep the price of sinking actually chose to write about it, not ashamed to invest their skills (or lack thereof) to disclosing to the world. Kudos, Paul.
This experience is the tread of a book whose theme stetch in different directions, making for a pleasant journey, with many bars fun on the road side. (I loved the jigsaw puzzle kind of thing, sprinkled throughout the text.)
Why only 3 stars? It’s a personal thing – the author is confirmed “random walker” and take an opposite view. Hey, no wonder that in his opinion about the stock market is less than thrilled. Hopefully someone can get your opinion about the pain of their financial losses and seeing things a little more objective.
The main argument against the random walk theory the mere existence of the not always successful-floor traders (and investors as Warren Buffett and Peter Lynch). They exist. You will pay commissions, landslides occur, and still succeed. Their number and consistency fall outside randolm statistically significant probably walk theory.
< br /> Trade is not my strength to invest – and I can tell you is just a game. It is not an easy game, one more sophisticated, such as chess or poker – then again, not as one of the two . The consistent winners are those who learn to play the game well. The financial market movements are the result of the actions of all players in the game, therefore, not accidental.
In any case, I liked the book to plan and buy the other on reading the newspaper. If it was as nice as this, get 5 stars (not the port bias on the print media has no firm idea political will, so we certainly should be.)
Rating: 3 / 5
Look cynical and skeptical Dr. Paulos “in the stock market provides a fresh look calibration for all investors. The combination of cartoons and equations to do more to teach than to entertain.
Seems that the argument of Dr. Paulos that was far from explicit, was in the same direction as A Random Walk Down Wall Street, Malkiel shows. reference to it several times in the text, Paulos follower Malkiel. The only difference between his book and his Inspiration was taken from the humor and clarity.
However, this shows that a brilliant mathematician sees the market as something more than numbers and statistics. Paulos fall into that trap, only a theoretical model appropriate illustrations, rather than really analyzing the market and the relevance of both fundamental and technical analysis.
Dont read for forecasting or analysis because it is a brilliant mathematician. Read free (ie, addressing his point-bomb) failures.
Rating: 3 / 5