When Genius Failed: the Rise and Fall of Long-Term Capital Management
By Roger Lowenstein
They say: In this business classic, Roger Lowenstein captures the gripping roller-coaster ride of Long-Term Capital Management. Drawing on confidential internal memos and interviews with dozens of key players, Lowenstein explains not just how the fund made and lost its money but also how the personalities of Long-Term’s partners, the arrogance of their mathematical certainties, and the culture of Wall Street itself contributed to both their rise and their fall.
We say: It’s a gripping journey from the dizzying heights of success to the dramatic demise of Long-Term Capital Management, who turned $1 billion into $4.5 billion in few years, then lost it all in a few months and almost brought the financial sector down with them. If only they’d read Black Swan, they might have seen it coming. Don’t say we didn’t warn you.