The Alchemy of Finance

Presents a theoretical and practical account of financial trends and a paradigm by which to understand the financial market. This edition details the author's investment practices along with his views of the world and world order. He also describes a paradigm for the "theory of reflexivity" which underlies his investment strategies.

"...these updated classics are packed with investment wisdom..." (What Investment, November 2003)

Auteur

GEORGE SOROS is Chairman of Soros Fund Management, which serves as the principal investment advisor to the multibillion-dollar Quantum Group of Funds. Soros's flagship, Quantum Fund, is recognized as the most successful investment fund ever, returning an average 31 percent annually for more than thirty years. Soros has been an important philanthropist since 1979. His charitable foundations are active in more than fifty countries and spend nearly half a billion dollars each year to support projects in education, public health, civil society development, human rights, and many other areas.

Texte du rabat

George Soros is unquestionably the most powerful and profitable investor in the world today. Dubbed by BusinessWeek as "The Man Who Moves Markets," Soros once made a billion dollars by betting that the British pound would be devalued. Soros is not merely a man of finance, but a thinker to reckon with as well. In The Alchemy of Finance, this extraordinary man reveals the investment strategies that have made him "a superstar among money managers" (The New York Times).

"An honest struggle by an independent and searching mind to break through an old and stale orthodoxy with new and meaningful insights into financial and human behavior"
-**Paul A. Volcker

"An extraordinary . . . inside look into the decision-making process of the most successful money manager of our time. Fantastic."
-The Wall Street Journal

"A breathtakingly brilliant book. Soros is one of the core of masters . . . who can actually begin to digest the astonishing complexity . . . of the game of finance in recent years."
-Esquire

"A seminal investment book . . . it should be read, underlined, and thought about page by page, concept by idea. . . . He's the best pure investor ever . . . probably the finest analyst of the world in our time."
-Barton M. Biggs Director, BKF Capital Group, Inc.

Résumé
New chapter by Soros on the secrets to his success along with a new Preface and Introduction. New Foreword by renowned economist Paul Volcker "An extraordinary . . . inside look into the decision-making process of the most successful money manager of our time. Fantastic." -The Wall Street Journal George Soros is unquestionably one of the most powerful and profitable investors in the world today. Dubbed by BusinessWeek as "the Man who Moves Markets," Soros made a fortune competing with the British pound and remains active today in the global financial community. Now, in this special edition of the classic investment book, The Alchemy of Finance, Soros presents a theoretical and practical account of current financial trends and a new paradigm by which to understand the financial market today. This edition's expanded and revised Introduction details Soros's innovative investment practices along with his views of the world and world order. He also describes a new paradigm for the "theory of reflexivity" which underlies his unique investment strategies. Filled with expert advice and valuable business lessons, The Alchemy of Finance reveals the timeless principles of an investing legend. This special edition will feature a new chapter by Soros on the secrets of his success and a new Foreword by the Honorable Paul Volcker, former Chairman of the Federal Reserve. George Soros (New York, NY) is President of Soros Fund Management and Chief Investment Advisor to Quantum Fund N.V., a $12 billion international investment fund. Besides his numerous ventures in finance, Soros is also extremely active in the worlds of education, culture, and economic aid and development through his Open Society Fund and the Soros Foundation.

Contenu

Foreword to the New Edition
by Paul A. Volcker xi

Foreword to the First Edition
by Paul Tudor Jones II xv

New Preface xix

New Introduction 1

Part One Theory

1. Reflexivity in the Stock Market 49

2. Reflexivity in the Currency Market 73

3. The Credit and Regulatory Cycle 85

Part Two Historical Perspective

4. The International Debt Problem 95

5. The Collective System of Lending 107

6. Reagan's Imperial Circle 115

7. Evolution of the Banking System 123

8. The "Oligopolarization" of America 133

Part Three The Real-time Experiment

9. The Starting Point: August 1985 145

10. Phase 1: August 1985-December 1985 153

11. Control Period: January 1986-July 1986 201

12. Phase 2: July 1986-November 1986 241

13. The Conclusion: November 1986 295

Part Four Evaluation

14. The Scope for Financial Alchemy: An Evaluation of the Experiment 307

15. The Quandary of the Social Sciences 317

Part Five Prescription

16. Free Markets Versus Regulation 325

17. Toward an International Central Bank 333

18. The Paradox of Systemic Reform 351

19. The Crash of '87 355

Epilogue 371

Notes 377

Appendix 381