Varlam Shalamov's 'Kolyma Stories' is a masterpiece of 20th-century Russian literature, detailing life in the harsh conditions of Soviet labor camps. The stories are a historical record and a literary work that explores the brutal realities of survival under totalitarianism. Shalamov's writing style is characterized by cool realism, devoid of melodrama, reflecting his experiences as a medical assistant in the camps.
Red-Blooded Risk presents a unique perspective on risk management, challenging conventional wisdom by advocating for calculated risk-taking as a path to success. The book explores the evolution of risk management on Wall Street and provides actionable strategies for risk-takers. It also delves into broader themes such as economics, politics, and the impact of quantitative finance on the financial industry.
In 'A Deepness in the Sky', Vernor Vinge crafts a compelling narrative about interstellar politics and the discovery of an alien civilization. The story revolves around the Qeng Ho, a peaceful trading society, and the Emergents, a totalitarian regime, as they navigate their complex relationship and the challenges of interacting with the alien Spiders. The novel explores themes of power, technology, and cooperation in the face of adversity.
Agustin Lebron began his career as a trader and researcher at Jane Street Capital, one of the largest market-making firms in the world. He currently runs the consulting firm Essilen Research, where he is dedicated to helping clients integrate modern decision-making approaches in their business.
We discuss how AI will change finance, why adverse selection makes trading and hiring so difficult, & what the future of crypto holds.
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Timestamps:
(00:00) - Introduction
(04:18) - What happens in adverse selection?
(09:22) - Why is having domain expertise in trading not important?
(15:09) - How do you deal when you're on the other side of the adverse selection?
(21:16) - Why you should invest in training your people?
(25:37) - Is finance too big at 9% of GDP?
(31:06) - Trading is very labor intensive
(36:16) - Overlap of rationality community and trading
(48:00) - The age of startup founders
(50:43) - The role of market makers in crypto
(57:31) - Three books that you recommend
(58:47) - Life is long, not short
(1:03:01) - Short history of Lunar Society
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