The Money Game Fri 2010-03-19 12:23 EDT
The SEC's Rick Bookstaber can hardly watch as sheep-like investors chase the gold bubble straight off a cliff...
cliff; Gold bubble; Hedge funds; lure investor; Money game; pump; Rick Bookstaber.
Tue 2009-09-22 08:18 EDT
Will regulation hobble capitalism? I think the opposite is true. Properly done, government regulation of the financial industry will move the industry closer to the capitalist ideal. By capitalism, I mean where those who take the risks and put up the money get the fruits of their labor. And, importantly, where those who take the risks and put up the money actually do take the risks, bearing the full costs of failure as well as success.
Rick Bookstaber Sun 2009-09-20 14:30 EDT
Will regulation hobble capitalism? I think the opposite is true. Properly done -- and I think most of the financial regulation that is envisioned fits into this camp -- government regulation of the financial industry will move the industry closer to the capitalist ideal. By capitalism, I mean where those who take the risks and put up the money get the fruits of their labor. And, importantly, where those who take the risks and put up the money actually do take the risks, bearing the full costs of failure as well as success.
Rick Bookstaber Sun 2009-09-13 16:06 EDT
I testified before the House for the hearing, "The Risks of Financial Modeling: VaR and the Economic Meltdown". This is my written testimony.
economic meltdown; financial model; Housing; Rick Bookstaber; Risk; testimony; var.
Rick Bookstaber Sun 2009-08-30 12:07 EDT
``There is a general view that one way or another the end result of all the high frequency and algorithmic trading will be a blowup. But I don't think the risk is as big as many are making it out to be...the risk of a cataclysm is constrained by the lack of feedback and lack of tight coupling...As the field gets increasingly crowded, market impact will rise and opportunities will diminish'' First, let me point out the difference between high frequency trading and algorithmic trading. Both execute using computers, and since computers work really fast, both can be accused of whatever sins are embodied in millisecond trading. High frequency trading is a type of proprietary trading. The trader (or his computer) sees a profit opportunity and trades accordingly. This profit opportunity...
algorithmic trading; bang; High Frequency; Rick Bookstaber; Risk; Whimper.
Rick Bookstaber Thu 2009-04-02 00:00 EDT
capital-weighted annualized returns measures hedge fund value-added; large hedges funds have on net lost money for their investors since inception
