However, that’s a tale for another time. He is treated like a flunky, made to fetch food for the rather overweight older traders. ... Summary Notes. The Wolf of Wall Street is probably the only book that even come close to being as funny as Liar’s Poker. Liar's Poker is the story of the investment banking firm Salomon Brothers during the tenure of CEO John Gutfreund, lasting from 1978-1991, and to a lesser extent, a description of the wider financial world of the 1980s. Liar's Poker is a game of strategy and psychology in which players hold random dollar bills with close attention to the serial numbers on their respective bills. Goodreads helps you keep track of books you want to read. The most insane round of Liar’s Poker is narrated in chapter 1. twos, fours or nines, there are on one’s own bill plus the others. This book review could probably be summed up in one sentence: After reading Liar’s Poker I immediately went to my Amazon account and purchased 5 more Michael Lewis books! Paperback $12.65 $ ... Summary: Michael Lewis' Liar's Poker: Rising Through the Wreckage on Wall Street. The growth of Wall Street firms like Salomon Brothers was boosted by gover Before there was Flash Boys and The Big Short , there was Liar's Poker . We read every chapter, summarize and analyze it for your convenience. At some point someone will say: “Nah, there are not that many sixes”, and thus pull the plug on the game. They ended up being the hot potatoes that were passed along to the next sucker. RESOURCES. Liar’s Poker, by Michael Lewis, is a book that thoroughly looks into the author’s life as a broker on Wall Street working for Salomon Brothers, the most profitable firm in the 1980’s. The insanity of the game captures the culture and excess wealth that dominated Wall Street in this era. Just a moment while we sign you in to your Goodreads account. Liar's Poker is a non-fiction, semi-autobiographical book by Michael Lewis describing the author's experiences as a bond salesman on Wall Street during the late 1980s. Michael Lewis graduated from The London School of Economics and decided to take his career into trading when offered a job by the top- trading firm. The book, unlike most others, is written by a person who had first-class information about all processes. Liar’s Poker: Lies on Steroids Other Resources. Gutfreund challenged Meriwether to "One million dollars. three Privacy Policy. story below). Summary of Liar’s Poker by Michael Lewis | Includes Analysis Preview: Liar's Poker is the story of the investment banking firm Salomon Brothers during the tenure of CEO John Gutfreund, lasting from 1978-1991, and to a lesser extent, a description of the wider financial world of the 1980s. An Executive Summary of LIAR’S POKER by#Michael#Lewis! Michael Lewis, a freelance finance writer, worked for several years at Salomon Brothers, an investment bank, when it was under the leadership of CEO John Gutfreund. Chapter Summaries Chapter 1: Liar's Poker Michael witnessed a classic bluff and re-bluff between John Gutfreund (chairman of Salomon Brothers) and John Meriwether (board member + bond trader). Michael Lewis was fresh out of Princeton and the London School of Economics when … This summary is a good refresher on Michael Lewis's bestseller, Liar's Poker. I bought the book and read it when it came out years ago and got this Instaread for a quick overview. Suggest a Title. Not sure I “learned” anything, but a fun ride! It’s disturbing, no doubt, but the book is very enjoyable. WhoisMichaelLewis! Start by marking “Summary of Liar's Poker: by Michel Lewis | Includes Analysis” as Want to Read: Error rating book. Chapter 1 Summary: “Liar’s Poker” Lewis begins at his bond-trading firm, Salomon Brothers, in 1986. View All Titles. Liar’s Poker beautifully describes the egocentric culture that prevails on Wall Street. I thought that this insider’s account of life on Wall Street was absolutely fascinating. They usually have but one interest: themselves. Yet, at some point there weren’t more bonds to trade, and volumes declined. The differences between the two era’s crises: the scale, and the name of the product. display: none !important; The growth of Wall Street firms like Salomon Brothers was boosted by gover, Liar's Poker is the story of the investment banking firm Salomon Brothers during the tenure of CEO John Gutfreund, lasting from 1978-1991, and to a lesser extent, a description of the wider financial world of the 1980s. LEGAL. Be the first to ask a question about Summary of Liar's Poker. “Liar’s Poker” covers and gives honest thoughts on the rise and collapse of Salomon Brothers. What if? March 1st 2016 We read every chapter, identify the key takeaways and analyze them for your convenience. The time was the 1980s. The Mission Marketing Group (TMMG): High growth, low P/E. Audible Audiobook $0.00 $ 0. The book captures an important period in the history of Wall Street. The mischievous yet exciting inside world of a successful financial institute through the detached viewpoint of a bond salesman is extremely captivating, educative and, above all, entertaining Each one was then compelled to pull up a hundred-dollar bill, and let the game begin. But eventually, he surrendered: ”You’re insane”, he said, and leaved the room. In both instances, Alexander was right, and he earned a small fortune. .hide-if-no-js { As mentioned, the bond market was booming. He reasoned that if the demand for nuclear energy fell, the demand for oil had to increase. The book's title, ''Liar's Poker,'' refers to an after-hours game played by Salomon's bond traders and arbitrageurs. Refresh and try again. Let us know what’s wrong with this preview of, Published The way the book describes the complete lack of etiquette (for instance, one of the Salomon Brothers traders lit up a small fire in a sushi restaurant to cook his fish while having a business dinner with a Japanese trader) mixed with the Michael’s reflections on how the environment corrupted his soul convinces me … 111 quotes from Liar's Poker: ‘Those who know don't tell and those who tell don't know.’ ... Rate this book. The world of investment banking and bond trading, (think Michael Millken in the 80s), hasn't changed so the title is still relevant. Rather than CMOs, they were re-labelled to CDO (credit default obligations), because it wasn’t only mortgages this time around, but all kinds of shady debt. Bevis, at du ikke er en robot * Rating: ... Mostly it’s a great story. You know what’s the scariest thing? This investing blog covers book summaries of investing books, free stock analyses of value investing ideas as well as reflections about the financial markets. Hence, they needed to create a marketplace by inventing financial products. Alexander taught Michael to always ask the question: “What if?” For instance, when the Chenobyl catastrophe hit, Alexander dialed Michael up. The game was called Liar's Poker. In general, it focuses on how they managed to increase their influence with the help of unethical methods and thus provoked a quick downfall. 00 $3.95 $3.95. 1 0, January 14, 2018 The book is an insanely humorous reminiscence of Michael Lewis’ days as a Salomon Brothers trader in the 70s and 80s when the US bond market rallied immensely. Meriwether, though a superior Liar’s Poker player, was frightened to death; he knew that Gutfreund weren’t kidding. by Ant Hive Media and Doron Alon. He came up with the somewhat innovative idea of bundling a lot of terrible mortgages – which couldn’t be bought and sold otherwise – together, and thus making them “secure” (based on the logic that one substandard borrower is a risk while a lot of them aren’t). Any trader could walk up to another bunch of traders and shout “Liar’s Poker, $100”. Michael#Lewis,#born#on#October#15th,#1960,#is#an#American#finance#journalist#who#has#authored#numerous#bestselling# books.#Lewis#attended#Princeton#University#to#attain#his#BA#degreein#Art#History.#Later,#hewent#ahead#to#work#with# Book 2 of 2: Liar's Poker Series | by Michael Lewis | Feb 1, 2011. You would then bet on how many of a ‘kind’, e.g. Welcome back. The place was Wall Street. These derivatives were indeed horrifically poor products, only designed to line Salomon Brothers’ own pockets. by Instaread. Each participant would take a look at his or her bill’s serial number, which might say “A12345678B”. He proves an excellent bond salesman but, in the process, fights a daunting battle with his conscience. Liar’s Poker was a game that Salomon Brothers’ traders engaged in on a daily basis. One of the more instructive episodes of the book is an exchange between Michael and his colleague, Alexander. 4.7 out of 5 stars 3,898.  =  - What went wrong? His book on the experience gives a depressing look inside the kinds of companies that have our financial futures in their often incompetent and uncaring hands. Gutfreund’s best trader is John Meriwether, a man so cool-headed that no one can ever tell by his manner whether he is … Liar's Poker Rising Through the Wreckage on Wall Street (Book) : Lewis, Michael : The time was the 1980s. “Liar’s Poker, $1 million dollars, no tears”, said Gutfreund. Liars Poker by Michael Lewis is a Story of Salomon Brothers. If there aren’t indeed that many sixes, he wins; if there are, he loose and thus opts out. Briefly put, Lweis needed wanted to create a product that could be sold to investment banks and pension funds. The game was called Liar’s Poker. Liar's Poker is the story of the investment banking firm Salomon Brothers during the tenure of CEO John Gutfreund, lasting from 1978-1991, and to a lesser extent, a description of the wider financial world of the 1980s. hen Lewis Ranieris was hired at Salomon Brothers, he initiated an avalanche of misery. LIBRARY. There are no discussion topics on this book yet. More specifically, it is the author's personal account of the culture within Salomon Brothers and why the … Author Michael Lewis tells the story as he witnesses it. Two important figure… I bought the book and read it when it came out years … Its chairman, John Gutfreund, dubbed “the King of Wall Street” by Business Week (14), can strike terror into the hearts of traders merely by walking up behind them and watching them work. Think fast, think ahead. These derivatives were the essentially the exact same explosive that caused the 2007/2008 crash. Michael describes the ruling culture in the industry and the financial products they invented to drive commissions. He thus hurried to purchase oil futures in the expectation that oil prices would spike. We’d love your help. Save my name, email, and website in this browser for the next time I comment. Liar's Poker If you are interested in sales and trading or investment banking in general, this is the book to read. Video Book Notes Click here to watch a video on the notes from this book. }. In the book, bond traders at Salomon Brothers, an investment bank, play a much bigger betting game involving hundreds of millions of dollars, but the skills they require—daring, quick … Plot Summaries. 1 of 5 stars 2 of 5 stars 3 of 5 stars 4 of 5 stars 5 of 5 stars. The game is simple. Alexander was a top trader, one of the few Michael characterizes as intelligent in the Salomon Brothers madhouse. Hence, he had to create large blocks of something that would ‘make a dent’ in funds with billions of dollars. Chapter 5 Summary: “A Brotherhood of Hoods” Matty Oliva is a new member of the mortgage-trading department. Clear rating. Liar’s Poker Michael Lewis 30-page comprehensive study guide ... Liar’s Poker Chapters 5-7 Summary & Analysis. March 11, 2018 Your email address will not be published. Titan: The Life of John D. Rockefeller, Sr. Persimmon PLC (PNS): Double-digit growth story at a zero-growth price, The Little Book of Valuation: How to Value a Company, Pick a Stock, and Profit, You Can Be a Stock Market Genius: Uncover the Secret Hiding Places of Stock Market Profits. Liar’s Poker is the culmination of those heady, frenzied years—a behind-the-scenes look at a unique and turbulent time in American business. Liar's Poker by Michael Lewis. During this time he observed from the inside the behavior and attitudes that led to the disastrous collapse of the real estate securities market. The growth of Wall Street firms like Salomon Brothers was boosted by government deregulation which allowed for the growth and creation of risky mortgage-backed securities and high-yield junk bonds during this period. As the traders and executives’ commissions were bound to the amount of bonds sold, this fact was unacceptable. 3 0, November 12, 2017 What's the main issue highlighted in the book. In a high-risk gamble to opt-out of this proposed bet, Meiwether said: “If we’re going to play for that kind of money, we might as well do it properly. Originally published in 1989, Liar’s Poker is a nonfiction book that details author Michael Lewis’s experiences as a Wall Street bonds salesman in the late 1980s. From the frat-boy camaraderie of the forty-first-floor trading room to the killer instinct that made ambitious young men gamble everything on a high-stakes game of bluffing and deception, here is Michael Lewis’s knowing and hilarious insider’s account of an unprecedented … His penchant for the game of Liar’s Poker, a game based on deception and bluff, exemplifies his unusual approach to business. Summary of Liar's Poker Group Members: Çiğdem Artik - Göksu Savtekin - Aksu Şilik - Edmir Misini - Metehan Kuzu - Ünal Cem Sungur - Esra Balkan - Hakan Çorakçi - Selim Baykiz - What's the book is all about? These derivative packages were called CMOs (collateralized mortgage obligations). This summary is a good refresher on Michael Lewis's bestseller, Liar's Poker. The book can be grouped into a few sections, that have very distinct focuses. one Liar’s Poker chronicles the rise and fall of Salomon Brothers: its infamous swagger, its aggressive expansion and subsequent decline. Liar's Poker: Rising Through the Wreckage on Wall Street Summary & Study Guide Michael Lewis (author) This Study Guide consists of approximately 36 pages of chapter summaries, quotes, character analysis, themes, and more - everything you need to sharpen your knowledge of Liar's Poker. First published in 1989, it is considered one of the books that defined Wall Street during the 1980s, along with Bryan Burrough and John Helyar's Barbarians at the Gate: The Fall of RJR Nabisco, and the fictional The Bonfire of the Vanities by Tom Wolfe. Digging For Value – An aspiring value investor's investing blog about the value investing philosophy. Just feast your eyes upon all of these debut books to check out and emerging authors to... To see what your friends thought of this book, Summary of Liar's Poker: by Michel Lewis | Includes Analysis. With Instaread, you can get the key takeaways, summary and analysis of a book in 15 minutes.  −  Yet, the naïve institutional investment managers took the bait – which they shouldn’t have. Literary Devices. Each time an impactful event takes place, you need to quickly ask: “What if?” Think fast, think ahead, and you might be able to earn a buck on potatoes (cf. Though he often finds his compatriots at Salomon funny, eccentric, and sometimes venal, he also finds these traits in himself. 1 0. This is a Summary of Michael Lewis' book "Liar’s Poker Liar’s Poker: Rising Through the Wreckage on Wall Street" It is the culmination of those heady, frenzied years—a behind-the-scenes look at a unique and turbulent time in American business. Terms of Service Inventing financial “products” (or trash, really) This book is not yet featured on Listopia. The place was Wall Street. The book is written from an insider’s viewpoint by Michael Lewis, now one of the world’s best-known financial journalists, but a bond salesman for Salomon Brothers during its most colorful period. The game continues as such until one lucky soul stands back with the other fools’ money. - How The stakes can run as high as several hundred dollars a bet. The book is really entertaining and at the same time very informative. Liar’s Poker beautifully describes the egocentric culture that prevails on Wall Street. The CEO, John Gutfreund, steps into the King of Liar’s Poker’s office, John Meriwether. With Instaread, you can get the summary and analysis of a book in 15 minutes. The world of investment banking and bond trading, (think Michael Millken in the 80s), hasn't changed so the title is still relevant. The morale? Liar's Poker is a book about the days that Michael Lewis spent at Solomon Brothers as a Bond broker during the bond boom that took place starting in the 80's. The way the book describes the complete lack of etiquette (for instance, one of the Salomon Brothers traders lit up a small fire in a sushi restaurant to cook his fish while having a business dinner with a Japanese trader) mixed with the Michael’s reflections on how the environment corrupted his soul convinces me of one thing: Watch out, and be very skeptical of what Wall Street is trying to convince you of. $10 million dollars.” Gutfreund, rich as he was, considered it for some time. During the 1980s, Salomon Brothers was the largest investment banking firm in the United States…. TIP67: LIAR'S POKER BY MICHAEL LEWIS - The Investor's Podcast Network Preston and Stig discuss Michael Lewis' best selling book, Liar's Poker, which describes Lewis' first hand account of working as a … Liar’s Poker is a betting game played with single dollar bills. 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