Found in 7 comments on Hacker News
pjc50 · 2019-10-18 · Original thread
There is a tremendous book called "Where are all the customers' yachts?" on how the middlemen used to be the people making all the money:

Very rarely have individual investors from the "masses" done well out of the markets. If they did, they were usually upper-middle-class to start with. Until the 80s and the internet age there were distinct barriers to entry. What did happen was fund investment, at one remove - especially pensions, but also products like life assurance and annuities. The funds are one of the groups deploying machine learning now.

> if we want a stock market that has any resemblance of fairness and democratic influence on the economy?

I'm not sure that's the correct place to deploy the fairness levers against overall economic inequality. We come back to the need for a wealth tax to address dangerously large concentrations of capital destabilising the economy like cargo shifting in a plane.

I don't know if you will lose money, but here is why I suspect you might:

cconcepts · 2017-02-01 · Original thread
> then starts talking about market sentiment and concludes by analyzing it's chart

You summarise my experience of the financial industry well. If you haven't already, read "Where Are The Customer's Yachts" by Fred Schwed - very entertaining and funny, in a kind of sad way:

pjc50 · 2016-09-23 · Original thread
Note that "finance" and "economics" are separate disciplines, roughly corresponding to applied vs theoretical.

The book which changed my thinking the most was "The Other Path"

It would be easy to give it the traditional libertarian gloss of "reducing regulation to improve the economy", but it's much more subtle than that. It looks at the costs of being outside the "system", and the benefits of simplifying the system so as to include more people and businesses. Along with land reform to reflect the actual reality of buildings.

Also, short and entertaining, but with lots of insights into principal-agent problems and bubble mentality: "Where Are the Customers' Yachts?"

somberi · 2015-07-09 · Original thread
A father, who is a banker shows his son "This is our Yacht and those are our brokers''". Son asks "Dad, where are the customers' yachts?".

A book, written in 1930s, based on this quip still remains one of my favourite books about Wall street. Link:

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