Investment Blunders of the Rich and Famous-- and what You Can Learn from Them
Every investor -- even the world's most prominent and respected investors -- are subject to the foibles of human psychology. Now, John Nofsinger, identifies the most common investor mistakes through the prism of the world's most public investment catastrophes. Using other people's money and other people's disasters, Investment Blunders teaches a wide range of critical lessons every investor must learn. John Nofsinger shows how to avoid the overconfidence displayed by John Meriwether and David Mullins, and by Nobel laureates Myron Scholes and Robert Merton, the founders of the failed Long Term Capital Management hedge fund. He demonstrates how to avoid the hubris that nearly destroyed KKR in its bidding war over RJR Nabisco; how to identify and control the greed that sank Michael Milken and many of his contemporaries; and how to keep sight of the fundamentals, avoiding the disastrous investments that led to the 1980s' S&L crisis. Read each Blunder, and you will learn of a common error that you can avoid in the future.
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CHAPTER 1 Other Peoples Problems
PART 1 SelfInflicted Common Problems
CHAPTER 2 Behavioral Finance
CHAPTER 3 Patterns and Predictions
CHAPTER 4 Mood Optimism and Investing
CHAPTER 5 Profits from the Prophets?
CHAPTER 6 Foolish Risks
PART 2 Trying to Beat the Market
CHAPTER 11 Get Rich Quick
PART 3 Colossal Blunders
CHAPTER 12 The Eggheads Crack
CHAPTER 13 An Orange Squeezed
CHAPTER 14 Betting the Bank
CHAPTER 15 Invest to Win and Avoid the Blunders
APPENDIX Exchange Traded Funds
CHAPTER 7 Timing the Market
Carrying the Load
CHAPTER 10 The Social Investor
Inside Back Cover
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