The proven strategies rational investors require for success in an irrational market
When the dot-com and real estate bubbles of the 1990s and 2000s burst, few were spared the financial fallout. So, how did an investment advisory firm located in Elkhart, Indiana—one of the cities hit hardest by the economic downturns—not only survive, but also thrive during the highly contagious speculative pandemics. By remaining rational. In A Decade of Delusions: From Speculative Contagion to the Great Recession, Frank Martin founder of Elkhart, Indiana's Martin Capital Management offers a riveting and real-time insider's look at the two bubbles, and reflects on how investors can remain rational even when markets are anything but.
Outlines strategies the average investor can use to wade through the endless news, information, and investment advice that bombards them
Describes the epidemic of market speculation that gradually infects feverish investors
Details how investors can spare themselves the emotional devastation and accompanying paralysis resulting from shocking financial losses
Investors are still reeling from the instability in the market. A Decade of Delusions: From Speculative Contagion to the Great Recession provides the information investors need to achieve safety, liquidity, and yield.
Table of Contents
- Chapter 1 : Lead Us Not into Temptation
- Chapter 2 : Techno Babble, Techno Bubble
- Chapter 3 : “Pop!!”.com
- Chapter 4 : Swimming against the Current
- Chapter 5 : The “Greenspan Put”. . . Again
- Chapter 6 : Only Fools Rush In
- Chapter 7 : Expanding Concern: A Bigger Bubble?
Chapter 8 : What History Teaches
- Free Markets: Popular Delusions and the Madness of Crowds
- Aspiring to Rationality by Overcoming Heuristic Biases
- Today Is Not Tomorrow: Cycles and Differing “Opportunity Sets”
- Inverting the Traditional High-Risk/High-Return Paradigm
- The Inevitability of Regression to the Mean
- There Are No Called Strikes in the Investment Ballgame
- Focus on the Important
- The Malevolent Mathematical Mystery of Modern Money Management (a.k.a. MPT)
- The Absurdity of the Collective Wisdom of Individual Irrationality
- Diversification and the Myth of Safety in Numbers
- The New-Era Error
Chapter 9 : Contagious Speculation
- The Means to the End
- The Perfect Storm? Viewing the Vista through the Lens of History
- The Blossoming of the Financial Economy: The Cataclysm in the Creation of Credit
- Bubbles Are Indigenous to the Financial Economy
- If Housing Prices Roll Over
- A Remarkable Story of Risk Management—Run Amok
- The Perfect Storm Redux
- Capitalism: When “Financial” Overwhelms “Commercial”
- Minsky: A Prequel?
- The Evolving History of Economics and Finance: Reflections
Chapter 10 : The Tipping Point
- Excerpt from Quarterly Capital Markets Review, July 2007
- Draft of Letter to MCM Clients, July 2007
- Quarterly Capital Markets Review, October 2007: “What’s Up, Doc?”
- Cyclical or Secular? The Current Crisis in the Larger Context of Cause and Effect—Connecting the Dots through Time
- The Misalignment of Incentives and the Opaque World of High Finance
- Edging toward the Precipice
- The “Simple” Question Why?
- An Early Epitaph for the First Decade of the New Millennium
- Credit-Default Swap Alchemy: Transmuting Junk into Gold
- Counterparty Risk
Chapter 11 : The End or the Beginning?
- Origins of a Crisis: Decoupling Risk and Return
- The Question on Which the Future of Investment Hangs
- The Stockdale Paradox: What Do Survivors Have in Common?
- Know Thyself
- Harsh Realities and the Snowball Effect
- The Future of Risk Aversion
- Price Is What You Pay, Value Is What You Get
- The Lost Decade
- The Most Powerful Force in the Universe
- Value Investors: A Rare Breed
- Risk—Once Again a Four-Letter Word?
- Analysis and Intuition: The Yin and Yang
- Epilogue “This Time Is Different”
- Title: A Decade of Delusions: From Speculative Contagion to the Great Recession
- Release date: May 2011
- Publisher(s): Wiley
- ISBN: 9781118004562