Matt HealeyFriday,14 December 2012

The Snap:

I just finished Andrew Ross Sorkin‘s book “Too Big To Fail.” As business books go, this one was very good. The subject was the financial crisis triggered by the sub prime mortgage crisis of 2007/2008. This book does not attempt to get into how the crisis started or who was to blame. Instead, it documents is the efforts that were made to save the financial system.

The Download:

The book takes the reader through the negotiations to save the banks. It spends, what I feel is, the right amount of time discussing the personalities of the major participants. For financial books this is difficult, because with too little history, the reader is lost or does not understand the actions, while too much history is boring. Further, Sorkin, based on his position as a reporter for CNBC, is able to provide a window into some of the private negotiations and discussions. I almost always find these interesting.

I would recommend this book to anyone who wants to understand what was happening out of the sight of the public. I would not recommend this book to anyone looking to understand how we go into this situation or who is to blame. For that I would say read Michael Lewis’ book “The Big Short.” The combination of those two books and “The Last Laugh” segment on the sub prime mortgage crisis (see video below) should provide a comprehensive overview if the situation.

Finally, I can not end any post about Wall St. banks without mentioning how much of a fucking dick I think John Mack of Morgan Stanley is. In my view, there is not enough bad shit that can happen to him. I was pissed that he was bailed out. Before you ask, it is personal. My family knows him, and I fucking hate the asshole.

Hat Tips:

Too big to failThe Big ShortThe Last Laugh, Image Credit: Flickr

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