Daily Archives: June 23, 2010

THE FINER POINTS OF BEING WRONG

Most interviews with money managers are all about success and how wonderful the ABC Fund’s performance has been over the years. But once in a while you find a discussion on the opposite end of the spectrum, and maybe that’s a good thing if you can learn more from mistakes than from victories. In any case, author Kathryn Schulz–no stranger to analyzing mistakes via her book Being Wrong: Adventures in the Margin of Error–interviews Victor Niederhoffer on trades that went bad, decisions that derailed and unsatisfactory results of one kind or another. Neiderhoffer, of course, is a trader known as much for being a former partner with George Soros as he is for blowing up his funds. Victor’s also the author of one of the all-time great reads on the subject of speculating in markets and in life (and, no, it’s not just for traders): The Education of a Speculator. Schulz’s Q&A with Niederhoffer is a fascinating discussion of “The Wrong Stuff.” Definitely worth a read. Then again, maybe I’m wrong.