Posted on Wednesday, October 2, 2013 by Business_and_Finance
If you have ever seen, let alone read, an investment fund’s prospectus, you know how excruciatingly mind-numbing they can be. One can only wish that investment firms and rating agencies had writers of Michael Lewis’ caliber.
With The Big Short: Inside the Doomsday Machine, Lewis has crafted a compelling story about the financial world leading up to the Great Recession and made it as riveting as any suspense thriller. It is an incredible piece of writing; anyone who cares about the state of the world’s economy can understand and even enjoy it. His account deserves to be required reading for investors.
In Lewis’ trademark fashion, he breaks down the intricacies of the investment world and abstruse products such as credit default swaps and collateralized debt obligations (CDOs). He does this by telling the stories of a handful of maverick investors who foresaw the coming doom long before any large investment or venerable rating firm did. If you are an investor or are thinking of investing, this is an invaluable analysis that will make you a more informed investor.
Who knew that a story about CDOs could be so entertaining? The Big Short