A Fool and His Money: The Odyssey of an Average Investor

by John Rothchild

"There is one thing that can be said about A Fool and His Moneythat cannot be said about any other colume of investment advice:You will never make a penny from the information in this book. Nowork on the subject of personal finance has even tried to make thisclaim before. That is because works on the subject of personalfinance are all lying. John Rothchild is the only fully honestauthor in the genre."--from the Foreword by P. J. O'Rourke.

A veritable gold mine of comic insight into the predicament of anaverage investor's avid pursuit of wealth, A Fool and His Money isJohn Rothchild's critically acclaimed personal account of a yeardevoted to investing his money in the markets. The entireinvestment world--its characters, institutions, customs, andmyths-passes under Rothchild's sharp and profoundly humorousscrutiny.

Acclaim for A Fool and His Money

"What makes this book so good is that Rothchild can explain thingslike naked puts . . . and leave the reader both edified andlaughing. . . . Witty, fast-paced, and educational."--TheWashington Post.

"You'll relish John Rothchild's comic tale. . . . The book nearsguaranteed delight."--Newsday.

"A Fool and His Money may be the funniest book about investing everwritten. It's a reader's capital gain."--New York Post.

You set aside some money, quit your job, devote yourself entirelyto studying the markets, and start to invest. Then, through hardwork and your own magical intuition, you become so wealthy yourmajor concern is finding a fashionable hobby to soak up yourabundant leisure time. All in about a year.

Now, thanks to this hugely entertaining and informative book, youcan live out the fantasy without risking your money, your job--oryour sanity.

Since its acclaimed debut a decade ago, A Fool and His Money hasbecome a treasured investment classic. It's the comic, firsthandaccount of a first-time investor who sets out to make his wildestmoney dreams come true.

In a surge of optimism and enterprise, financial writer JohnRothchild drops everything to devote an entire year to learning howto invest a modest sum of money. Motivated by a sincere desire toget rich, he undertakes his mission by systematically studying asmuch as he can about the markets and how they really operate. Hefearlessly asks the most basic questions, observes theprofessionals at work, studies the newsletters, makes investments,and reports back on everything--including his own highly personaland often hilarious reactions.

With Rothchild as your guide through the marketplace, you will:
* Eavesdrop as his broker explains in fluent double-talk why heshould buy a certain "hot stock"
* Share in his buyer's remorse as Rothchild purchases an unknowntechnology company stock that puts him on an emotional rollercoaster
* Be humbled as he enters the almighty Federal Reserve Bank andstruggles to understand its omnipotent power over his personalfinances
* Witness the excitement and confusion of the Commodities Exchangeand find out what pork bellies really are
* Hear firsthand the enigmatic and undoubtedly wise words ofvarious wizards of Wall Street
* Sympathize with Rothchild as he explains his transactions to hisloved ones
* Blush as he shamelessly attempts to deceive them.

In a gesture of pure magnanimity, Rothchild also includes thehard-won bits of wisdom he calls his "25 Useful Tips"--whichinclude such sage advice as "Never buy anything from a broker at anairport"--and his handy "Fool's Glossary," which clarifies many ofthe technical terms used in the book.

Clever, funny, and informative, A Fool and His Money will rewardinvestors at all levels of experience with a revelation on everypage.

Genres: Finance, Nonfiction, Business, Personal Finance

272 pages, Paperback

First published March 22, 1988

About the author

John Harmon Rothchild was a freelance writer specializing in financial matters. He authored or co-authored more than a dozen books on finance and investing, and served as an editor of Washington Monthly as well as a columnist for Time and Fortune.

Reviews

[Vipul · Rating 4 out of 5]

Humour along with great insight into stock market functionalities during 1980s time period. The process for trading has changed drastically since then but nevertheless the flaws on which investing decisions are made by both common investors as well as the sophisticated ones remains the only constant.

[Joel Gray · Rating 4 out of 5]

Be patient, never panic.
Be nervous, keep a close watch.
Be flexible.
Have faith in your ideas
Never sell too soon
Let your profits run
Invest for the long term
Study as much as you can, the ignorant investor is a sure loser.

[Alex · Rating 5 out of 5]

Fantastic, informative, irreverent, very well written.

[Shan P S · Rating 5 out of 5]

This is a unique book. It is a humorous take on the behavioral biases of the average investor. The book is a light read, with funny anecdotes. It is truly amazing to see the relevance of the content in 2021, 30 years after it was written.
A must read for all investors.

[Hiu Ying]

漂入。2021/12/07 書行者 Ashley

[P. Larry · Rating 1 out of 5]

Bad

Mr Rothschild is a very talented and dinner taining writer, but the point of the book is basically nothing. He lost most of his money and doesn't have any answers.

[Al · Rating 4 out of 5]

The notion of logging a Wall Street novice's yearlong quest for investment profits during what turns out to have been the height of a roaring bull market in stocks has a certain appeal. Unfortunately, Rothchild did not execute the order nearly as well as he might have. The author, a Miami-based free-lancer, ventured into the financial services marketplace at the start of 1986 with high hopes and about $14,000 in cash. At the end of his tour, which took him through Chicago's commodity pits, the NYSE, a cram course for aspiring brokers, and other outposts, Rothchild was deeply in the red after allowances for travel expenses as well as losses of principal and transaction costs. At its best, the author's anecdotal recap of how he and his money were parted in stages offers humorous insights. In like vein, he cautions that past performances improves with age. As a practical matter, the frequently shrewd nature of Rothchild's observations undercuts his credibility as a naif who throws money away on unpromising option straddles and obscure over the counter issues. Nor is it easy to accept that a reporter able to secure productive interviews with some of the financial community's leading people would put much stock in an astrologer; or call the SEC to inquire about the legality of holding a garage sale of his less rewarding securities. The bottom line: a very amusing account of capital punishment that's almost too absurd to be believed.

[Kam · Rating 3 out of 5]

Light, funny look at investing. Very pessimistic and humorous.

[Projwal Shrestha · Rating 4 out of 5]

Funny and very accurate picture of Wall Street.

[Lee · Rating 4 out of 5]

Ha ha ha ... very sincere, frank and shamelessly revealing the truth about investing.

[Eliot · Rating 3 out of 5]

Too much fictional content

[Ray Kyo · Rating 4 out of 5]

Funny but sad ,which most of the investors would end up the same way.
Life is a journey of learning, I believe as long as we spending time on investment it will finally return.

[Harsh Thaker · Rating 4 out of 5]

Excellent Financial Humour

[MADHUKAR DAYAL · Rating 5 out of 5]

Hilarious and educational, both, at the same time! Written in relatively simple words for the common person to understand easily. Expect no tips. Describes only pitfalls and what fools do with their money in the 'markets' due to which they (claimed 80 or more %) loose.
Read to find out what you should not do in the markets.