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What I Learned Losing a Million Dollars

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What I Learned Losing a Million Dollars

Written by: Jim Paul, Brendan Moynihan, Jack Schwager - foreword
Narrated by: Patrick Lawlor
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About this listen

Tim Ferriss Book Club Selection

Jim Paul's meteoric rise took him from a small town in Northern Kentucky to governor of the Chicago Mercantile Exchange, yet he lost it all - his fortune, his reputation, and his job - in one fatal attack of excessive economic hubris. In this honest, frank analysis, Paul and Brendan Moynihan revisit the events that led to Paul's disastrous decision and examine the psychological factors behind bad financial practices in several economic sectors. This book - winner of a 2014 Axiom Business Book award gold medal - begins with the unbroken string of successes that helped Paul achieve a jet-setting lifestyle and land a key spot with the Chicago Mercantile Exchange. It then describes the circumstances leading up to Paul's $1.6 million loss and the essential lessons he learned from it - primarily that, although there are as many ways to make money in the markets as there are people participating in them, all losses come from the same few sources.

Investors lose money in the markets either because of errors in their analysis or because of psychological barriers preventing the application of analysis. While all analytical methods have some validity and make allowances for instances in which they do not work, psychological factors can keep an investor in a losing position, causing him to abandon one method for another in order to rationalize the decisions already made. Paul and Moynihan's cautionary tale includes strategies for avoiding loss tied to a simple framework for understanding, accepting, and dodging the dangers of investing, trading, and speculating.

Also included is a bonus hour-long interview between co-author Brendon Moynihan and noted investor, business advisor, and best-selling author Tim Ferriss.

©2013 Brendan Moynihan (P)2014 Tim Ferriss
Business Professionals & Academics Investing Money Chicago

What the critics say

"One of the rare noncharlatanic books in finance." (Nassim Nicholas Taleb, from Antifragile: Things That Gain from Disorder)
“The book points out very early that many successful investors have opposing styles and theories on how to make money, and that they can not all be right at the same time. The most important point to take from the book is how to avoid losing money...” (Steve Osbiston, Financial Times Advisor)
“A novel approach aimed at pushing you inside your head and outside the losing habits most folks adopt right after multiple successes. A must-have for traders blessed with a string of hot trades.” (Ken Fisher, Fisher Investments, FORBES)
All stars
Most Relevant
Wasn’t expecting this book to be as good as it was it’s probably in my top 5, love how it took a different approach to investing by focusing on loss rather then profits, a must read for new investors

Awesome

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This is a critical listen for anyone participating in markets. I only wish I had listened sooner.

Essential reading

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an entertaining narrator, great story, and a message that should be followed by all. #audible1

great story telling

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good read to try drill in the importance of having a strategy with risk management at the centre of everything

great read on risk management

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Je trouve que c'est un livre vraiment intéressant et important à lire pour aider les gens dans ce qu'on vit présentement.

Oui c'est l'enfer ce n'est pas obligé de l'être non plus.

C'est bizarre son raisonnement. Comme il dit ce n'est pas ce que tu fais, mais combien tu es payé pour le faire.

Pour moi c'est complètement différent. Je pense qu'on devrait tous être heureux au travail et le salaire devrait refléter la valeur que tu donnes à la compagnie pour laquelle tu travailles.



Vraiment important présentement

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