Trillion Dollar Bet Part5

[superdiza]

How can you borrow 100 billion $, having just 3b$ ?

How can you enter a position of 1,000 billion using that?

did they leveraged x333, or is this documentary missing some numbers?

[alexnuffsaid1]

@superdiza i guess we should stop believing in arithmetics, economics doesnt work with those mathematics

[superdiza]

@alexnuffsaid1 totally so. the more i study it, the more i realize economics is such a blunt fucking lie.

I wish I could bet 333$ having risked just 1$. I wish I could create debt-slave-ponzi-fiat-money and ask interest payment for my service, from whole national populations.

[Harley04]

Answer for the question at 3:40 you get out when the pain of losing just $1 more is greater than the pain of admitting you are wrong!

[Noodstar]

Trillion dollars from 1 company on the line, now imagin the whole derivative bubble

close to a quadrillion in total. dooooom

[chrisconwaypeters]

the particular phrase being talked about here is called "confirmation bias"

[examinfo]

Four words: Security Analysis: Benjamin Graham

[mallen235]

If you wanna see Part 4 go to my Channel. I just uploaded the whole film...

[bronxrsj2]

this is actually part 4

[Rythmboy]

seems like 2008 was a remake of LTCM's collapse, with better hollywood CGI explosions and in amazing 3D

[OpieJohansen]

There is a short segment missing somewhere in this documentary. When I saw it on PBS (on the air), the program burnt itself into my consciousness because Scholes, when asked why his mathematics failed, said 'They didn't fail...the math is RIGHT!' but at least he felt bad for all those moronic investors that lost their savings and pensions.

When I think of the definitions of 'hubris' and 'arrogance' I am always amazed that that clip is not mentioned in Webster's! :(

[4DECO1]

@OpieJohansen

That part of the documentary stuck with me too. As I was listening to Scholes, I was shocked at his sheer arrogance and nonchalant attitude about the whole thing! He would not admit that he was wrong!

[alique087]

@4DECO1 What the hell are you talking about? He wasn't wrong. His equations, and all of it's derivatives, are very wildly used today.

[4DECO1]

@alique087, I am very aware that his equations are used today. I was talking about his involvement w/LTCM and the investment strategy that they were using based on his formula. And evidently he was WRONG about something because the gov't eventually had to bail them out like it did for AIG!!!

[Rythmboy]

@OpieJohansen moronic investors? do you mean everybody playing the markets, perhaps even you?

[OpieJohansen]

Although I cannot speak for everybody, I can speak for myself and the answer is "not me!" ;)

[longspear584]

At the end of the day, when things collapse and everything fails because of these douchebags - it won't be the end of the world. People will continue to live their lives.

[abecads1938]

Great documentary.

[Shortchecker]

Joe Stalin......... come back and put these parasites in a work camp.

[orangesquish]

nice documentary

[special1740]

very superficial documentary

[flagship21]

corporate welfare ahhhhhhhhhhhhhhhhhhhhhhhhhhhhh­hhhhhhhhhhhhhhhhhhhhhhhhhhhhhh­hhhhhhhhhhhhhhhhhhhh

[llamedica]

Great documentary. Im no Warren Buffet but this made a technical financial concept digestible. Would love to see a doc about the recent housing collapse.

[34patleg]

I love this doc, I must have watched 10 times in university with a group of my profs in economics.

[prodigee411]

and nothing will change, since you are a human being and you are greedy and fearful...the only thing that changes is the type of catastrophes, not whether these types of events will happen in the future. We've already guaranteed another catastrophe, with 0% interest rates for the foreseeable future. your professors don't know anything, my professors knew nothing...become a trader my friend and the market will explain everything.

[alique087]

@prodigee411 Just stop, please. 80% of trades are automated by high-speed computers. Fear has nothing to do with anything here. Machines are programmed in ways that attempts to maximize returns.

[prodigee411]

@alique087 Machines are created by human beings. The strategies employed by machines are conceptualized by human beings...you're an idiot.

[alique087]

@prodigee411 Is fear programmed into the computers?

[gatorbrit]

Actually, part 3 is mislabeled. It should be #4. The correct part 3 which shows the development of the Black Scholes Model and them getting the nobel is missing.

Hopefully it will be posted sometime.

[beaucoupzero]

thnx for the upload

[scort8888]

This should be labeled part 4. It dovetails with part 3, and part 4 is missing.

[shakaama]

Thanks for the upload. Food for thought.