We are living in the most reckless financial environment in recent history. Arcane credit derivative bets are now well into the tens of trillions. According to Charles R. Morris, the astronomical leverage at investment banks and their hedge fund and private equity clients virtually guarantees massive disruption in global markets. The crash, when it comes, will have no firebreaks. A quarter century of free-market zealotry that extolled asset stripping, abusive lending, and hedge fund secrecy will come crashing down with it.
The Trillion Dollar Meltdown explains how we got here, and what is about to happen. After the crash our priorities will be quite different. But things are likely to get worse before they better. Whether you are an active investor, a homeowner, or a contributor to your 401(k) plan, The Trillion Dollar Meltdown will be indispensable to understanding the gross excess that has put the world economy on the brink—and what the new landscape will look like.
About this product: John Meriwether, a famously successful Wall Street trader, spent the 1980s as a partner at Salomon Brothers, establishing the best--and the brainiest--bond arbitrage group in the world. A mysterious and shy midwesterner, he knitted together a group of Ph.D.-certified arbitrageurs who rewarded him with filial devotion and fabulous profits. Then, in 1991, in the wake of a scandal involving one of his traders, Meriwether abruptly resigned. For two years, his fiercely loyal team--convinced that the chief had been unfairly victimized--plotted their boss's return. Then, in 1993, Meriwether made a historic offer. He gathered together his former disciples and a handful of supereconomists from academia and proposed that they become partners in a new hedge fund different from any Wall Street had ever seen. And so Long-Term Capital Management was born. In a decade that had seen the longest and most rewarding bull market in history, hedge funds were the ne plus ultra of investments: discreet, private clubs limited to those rich enough to pony up millions. They promised that the investors' money would be placed in a variety of trades simultaneously--a "hedging" strategy designed to minimize the possibility of loss. At Long-Term, Meriwether & Co. truly believed that their finely tuned computer models had tamed the genie of risk, and would allow them to bet on the future with near mathematical certainty. And thanks to their cast--which included a pair of future Nobel Prize winners--investors believed them. From the moment Long-Term opened their offices in posh Greenwich, Connecticut, miles from the pandemonium of Wall Street, it was clear that this would be a hedge fund apart from all others. Though they viewed the big Wall Street investment banks with disdain, so great was Long-Term's aura that these very banks lined up to provide the firm with financing, and on the very sweetest of terms. So self-certain were Long-Term's traders that they borrowed with little concern about the leverage. At first, Long-Term's models stayed on script, and this new gold standard in hedge funds boasted such incredible returns that private investors and even central banks clamored to invest more money. It seemed the geniuses in Greenwich couldn't lose. Four years later, when a default in Russia set off a global storm that Long-Term's models hadn't anticipated, its supposedly safe portfolios imploded. In five weeks, the professors went from mega-rich geniuses to discredited failures. With the firm about to go under, its staggering $100 billion balance sheet threatened to drag down markets around the world. At the eleventh hour, fearing that the financial system of the world was in peril, the Federal Reserve Bank hastily summoned Wall Street's leading banks to underwrite a bailout. Roger Lowenstein, the bestselling author of Buffett, captures Long-Term's roller-coaster ride in gripping detail. Drawing on confidential internal memos and interviews with dozens of key players, Lowenstein crafts a story that reads like a first-rate thriller from beginning to end. He explains not just how the fund made and lost its money, but what it was about the personalities of Long-Term's partners, the arrogance of their mathematical certainties, and the late-nineties culture of Wall Street that made it all possible. When Genius Failed is the cautionary financial tale of our time, the gripping saga of what happened when an elite group of investors believed they could actually deconstruct risk and use virtually limitless leverage to create limitless wealth. In Roger Lowenstein's hands, it is a brilliant tale peppered with fast money, vivid characters, and high drama.
About this product: Burning Up: On Tour with the Jonas Brothers is your backstage pass to life with Kevin, Joe, and Nick Jonas. It includes never-before-seen photos of the Jonas Brothers' Look Me in the Eyes tour and exclusive images taken during Hannah Montana & Miley Cyrus's Best of Both Worlds tour. You'll get a behind-the-scenes look at the band warming up, performing, and having fun backstage.
This sizzling souvenir will also give you a glimpse of the downtime that the brothers have between gigs. In addition to pictures of the group laying down tracks at the recording studio for A Little Bit Longer, giving radio interviews, and sight-seeing in London, you'll see snap-shots of them bowling, racing Go-karts, and playing video games with the Bonus Jonas, younger brother Frankie.
The dynamic photography is accompanied by a candid narrative by the Jonas Brothers themselves, chronicling their life on the road and their experiences growing up in the music world. They discuss everything from the songwriting process to the importance of family to their favorite kind of ice cream (Kevin's is rocky road!) So pick up your guitar and get ready to strum along--you're going on tour with the Jonas Brothers!
About this product: Amazon Best of the Month, September 2008: Once you start The Girl with the Dragon Tattoo, there's no turning back. This debut thriller--the first in a trilogy from the late Stieg Larsson--is a serious page-turner rivaling the best of Charlie Huston and Michael Connelly. Mikael Blomkvist, a once-respected financial journalist, watches his professional life rapidly crumble around him. Prospects appear bleak until an unexpected (and unsettling) offer to resurrect his name is extended by an old-school titan of Swedish industry. The catch--and there's always a catch--is that Blomkvist must first spend a year researching a mysterious disappearance that has remained unsolved for nearly four decades. With few other options, he accepts and enlists the help of investigator Lisbeth Salander, a misunderstood genius with a cache of authority issues. Little is as it seems in Larsson's novel, but there is at least one constant: you really don't want to mess with the girl with the dragon tattoo. --Dave Callanan
About this product: Arthur Laffer -- the father of supply-side economics and a member of President Reagan's Economic Policy Advisory Board -- joins economist Stephen Moore of The Wall Street Journal editorial board and investment advisor Peter J. Tanous to send Americans an urgent message: We risk losing the exceptional standard of living that has made us the envy of the rest of the world if the pro-growth policies of the last twenty-five years are reversed by a new president.
Since the early 1980s, the United States has experienced a wave of prosperity almost unprecedented in history in terms of wealth creation, new jobs, and improved living standards for all. Under the leadership of Presidents Ronald Reagan and Bill Clinton, Americans changed the incentive structure on taxes, inflation, and regulation, and as a result the economy roared back to life after the anti-growth, high-inflation 1970s.
Now the rest of the world is following the American economic growth model of lower tax rates, more economic freedom, and sound money. Paradoxically, one country is moving away from these growth policies and putting its prosperity at risk -- America.
On the eve of a critical presidential election, Laffer, Moore, and Tanous provide the factual information every American needs in order to understand exactly how we achieved the prosperity many people have come to take for granted, and explain how the policies of Democrats Barack Obama, Hillary Clinton, and Nancy Pelosi can cause America to lose its status as the world's growth and job creation machine.
The End of Prosperity is essential reading for all Americans who value our nation's free enterprise system and high standard of living, and want to know how to protect their own investments in the coming storm.
About this product: J.K. Lasser's Your Income Tax 2009--the nation's all-time top-selling tax guide--is a proven, accessible resource with important strategies, useful recommendations and of course, all the latest tax law changes. With over 39 million copies sold, Your Income Tax 2009 is the #1 choice for taxpayers around the country.
About this product: Why is America in financial crisis today? This book, better than any to date, explains it all-how we got here and where we are going. The how we got here is brilliantly described in a collection of pieces from Grant's Interest Rate Observer, the Wall Street insider's Bible. The where we are going is treated in Jim Grant's up-to-the-minute introduction. No fan of Greenspan or Bernanke, Grant tells the unvarnished truth about America.
About this product: The new iPhone 3G is here, and New York Times tech columnist David Pogue is on top of it with a thoroughly updated edition of iPhone: The Missing Manual. With its faster downloads, touch-screen iPod, and best-ever mobile Web browser, the new affordable iPhone is packed with possibilities. But without an objective guide like this one, you'll never unlock all it can do for you. In this new edition, there are new chapters on the App Store, with special troubleshooting and sycning issues with iTunes; Apple's new MobileMe service, and what it means to the iPhone; and Microsoft Exchange ActiveSync compatibility. Each custom designed page in iPhone: The Missing Manual helps you accomplish specific tasks with complete step-by-step instructions for everything from scheduling to web browsing to watching videos. You'll learn how to: Use the iPhone as a phone -- get a guided tour of 3G's phone features and learn how much time you can save with things like Visual Voicemail, contact searching, and more Figure out what 3G means and how it affects battery life, internet speed, and even phone call audio quality. Treat the iPhone as an iPod -- listen to music, upload and view photos, and fill the iPhone with TV shows and movies Take the iPhone online -- learn how to get online, use email, browse the Web, and use the GPS Go beyond the iPhone -- discover how to use iPhone with iTunes, sync it with your calendar, and learn about The App Store where you can pick from hundreds of iPhone-friendly programs Teeming with high-quality color graphics and filled with humor, tips, tricks, and surprises, iPhone: The Missing Manual quickly teaches you how to set up, accessorize, and troubleshoot your iPhone. Instead offumbling around, take advantage of this device with the manual that should have been in the box. It's your call.
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