Chris/WLD: 'Best book on how not to hedge'
Dynamic Hedging, Nassim Taleb
I heard Nassim Taleb interviewed recently. I decided to put a library hold on his book 'Fooled by Randomness'. Some people on anther forum thought it was an 'interesting' (but not necessarily 'useful') read.
Based on what I heard in the interview, I do *not* expect to get much in the way of trading ideas, but it sounded like he did have some interesting ways to look at randomness and the market. Maybe something to learn, even if by example of what *not* to do.
Is it possible to summarize why you use him as a negative example? From the little I've heard in the interview, his strategy seemed a bit like yours, take a large number of inexpensive bets that have a chance of a big pay-out? He seems to take it to the extreme though, the 'black swan' analogy.
-KCMW
