The Devil's Deal: An Insider's Tale of How Money Is Made (Financial Times)

This controversial first person account details the ins and outs of global finance. Andreas Loizou reveals the schemes and techniques they use to conjure up enormous sums of money, whilst explaining how international finance operates: from how financial products work and what they are, to what financiers and money players actually do. This is the ultimate insider s tale of how international finance really operates. This controversial first person account details the ins and outs of global finance. Over 20 years the author has enjoyed privileged access to many of the world s top players in money. In this book he reveals the schemes and techniques they use to conjure up enormous sums of money, whilst explaining how international finance operates: from how financial products work and what they are, to what financiers and money players actually do Cover......Page 1 The Devil’s Deal......Page 2 Contents......Page 8 Acknowledgements......Page 12 How it all began......Page 14 Part 1 One-way ticket......Page 16 From Zurich to disaster......Page 18 The rules of compounding......Page 22 Whatever you want......Page 24 Gains and losses......Page 26 Taking risks......Page 30 Take a chance on me......Page 31 The business of risk......Page 34 The luxury gap......Page 36 Safety and danger......Page 44 Risk and return......Page 47 Buys and sells......Page 51 Part 2 Welcome to the jungle......Page 60 Damn clients......Page 62 The trading floor......Page 63 Spreadsheet monkeys......Page 65 Proprietary trading......Page 66 It’s raining middlemen......Page 67 Who predicted futurology?......Page 74 Stock-pickers of the world unite and take over......Page 76 Value, growth, neither, both......Page 80 The naked position......Page 84 The time value of money......Page 86 Wall Street Blues......Page 92 Income and safety......Page 95 The old principle/principal trade-off......Page 100 The name’s Safety......Page 102 Ratings measure risk – usually......Page 103 Chinese walls come tumbling down......Page 108 Deals on wheels......Page 109 Front running......Page 111 EBIT doh!......Page 115 Behind the Chinese walls......Page 118 Part 3 You can always get what you want......Page 126 The meek shall inherit the mineral rights......Page 128 Essential ingredients – rice, wheat and oil......Page 129 Why do people buy gold?......Page 133 Price is where supply shakes hands with demand......Page 135 The numbers game......Page 138 Yield and time......Page 139 The interest rate and bond price see-saw......Page 142 Welcome to World Lotto!......Page 146 Bringing home the risky bacon......Page 149 Difficult choices about options......Page 152 Call me......Page 154 Tomorrow always comes......Page 160 Markets and counters......Page 162 Part 4 All’s fair in love and finance......Page 170 Currency for the devil......Page 172 The currency banana......Page 173 Inflation is always the great destroyer......Page 180 Spread your love......Page 181 Paradigm city......Page 188 Hedge funds begin with a lie......Page 189 The scramble to be first......Page 190 Death insurance......Page 192 The insurance cycle......Page 194 Pension funds v hedge funds......Page 195 Silicon ditch......Page 198 Burn money......Page 200 How do we value our emotions?......Page 206 Some women are from Mars as well......Page 208 My investment questionnaire......Page 209 The right profile......Page 212 Classifying investors......Page 213 Swaps......Page 222 Home advantage......Page 223 Offshore pumps and scams......Page 225 Throwing darts at a random cat......Page 232 Asset allocation and fund management......Page 234 Get active......Page 236 On Margate sands......Page 238 Part 5 Laying all the economists end to end......Page 246 The bottom line......Page 248 Busts and burnt fingers......Page 249 The stumble from recession to depression......Page 250 The terrible cost of unemployment......Page 251 Coming out of recession......Page 252 Happy days are here again......Page 260 Boom time bubbles......Page 261 The fool in the herd......Page 262 Homes fit for NiNjas......Page 272 Born to run......Page 275 Scam......Page 278 The truth about rhodium......Page 279 Teamwork in action......Page 283 Is there a master plan?......Page 290 The teacher/student relationship......Page 295 How it all ended......Page 300 Index......Page 302 How It All Began Part One One Way Ticket Chapter 1 From Zurich To Disaste Analyse This Henry Blodgett The Rules Of Compounding Gains And Losses Who Chooses Equities, And Why Chapter 2 Taking Risks What's Risk? Warren Buffe And The Dalai Lama Iou Company Specific Risk Luxuries And Necessities Five Destroyed Brands Chapter 3 The Leap Of Faith Risk And Return Safety And Danger Hero And Villain -- Jerome Kerviel Buys And Sells The Sad Case Of Millwall Holdings Part Two Welcome To The Jungle Chapter 4 Damn Clients The Trading Floor Proprietary Trading How An Investment Bank Makes Money It's Raining Middlemen Bernie Madoff Primary And Secondary Market Chapter 5 An Equitable Solution Shares And Bonds Contrasted Income, Profit And Loss Earnings Per Share Dividend Yield Market Capitalisation P/e Ratio Growth Stocks And Value Stocks The Google Growth Story Front, Back And Middle Chapter 6 Promises, Promises What Goes Up Must Come Down The Time Value Of Money Inflation, Opportunity Cost, Borrower Risk Discounting Insider Tradin Bonfire Of The Vanities And Wall Street Control Chapter 7 Very Interesting Mr Bond Maturity And Principals Bonds And Shares Compared Ratings Measure Risk, Usually What You Need To Know About Rating Agencies Safety And Control From Triple A To Single, Solitary D Chapter 8 Chinese Walls Come Tumbling Down Deal Toys George Soros Income And Profit Front Running Private Equit Every Mistake Imaginable Sting Stung Ebit Doh! Music And Finance Behind The Wall The Burnt Out Agent. Andreas Loizou. Includes Index. "This controversial first person account details the ins and outs of global finance. Over 20 years the author has enjoyed privileged access to many of the world's top players in money. In this book he reveals the schemes and techniques they use to conjure up enormous sums of money, whilst explaining how international finance operates: from how financial products work and what they are, to what financiers and money players actually do."--Provided by the publisher Presents the author's first person account of the shady and corrupt world of finance, showing how banks handle their money and how safe it really is.