LTCM 25 Years Later, Dean Curnutt, Host, Alpha Exchange
Alpha Exchange
00:00
The Rise and Fall of Long-Term Capital Management (LTCM)
This chapter provides a retrospective on the rise and fall of LTCM, discussing its impressive returns, difficulties faced during the Russian default, and subsequent rescue by the Federal Reserve. It explores the concept of crowding, lessons learned from LTCM, and the importance of tail risk and counter-party risk. The chapter also discusses mean reversion trades, the reliance on historical data, and the role of price in shaping belief systems.
Transcript
Play full episode
