Product Description

How do the world?s top traders make millions of dollars in the markets ? sometimes in a matter of only weeks or even days? That?s precisely the question Jack Schwager was trying to answer when he interviewed 17 superstar money-makers including Richard Dennis, Paul Tudor Jones, Ed Seykota, Marty Schwartz, Tom Baldwin and others. After reading this best-selling book, you?ll know what ingredients enable these top traders to consistently work their financial magic in the markets while so many others walk away losers. One of the top-selling trading books of all-time!

Product Details

• Amazon Sales Rank: #22987 in Books
• Published on: 2006-02-02
• Original language: English
• Number of items: 1
• Binding: Hardcover
• 457 pages

About the Author

Jack Schwager is a managing director and principal of The Fortune Group, an alternative asset management firm regulated in the UK and the United States. Schwager is the Senior Portfolio manager for Fortune's Market Wizards Funds of Funds, a broadly diversified series of institutional hedge fund portfolios. He also serves on the board of Fortune's research affiliate Global Fund Analysis, a leading source of independent hedge fund research. His prior experience includes 22 years as the director of futures research for some of Wall Street's leading firms and 10 years as the co-principal of a commodity trading advisory firm.

Mr. Schwager is perhaps best known as the author of the best-selling Market Wizards (1989), and the equally popular The New Market Wizards (1992). A third volume in this series, Stock Market Wizards, published by HarperCollins, was released in early 2001. Mr. Schwager's first book, A Complete Guide to the Futures Markets, which was published in 1984, is considered to be one of the classic reference works in the field. More than a decade later he revised and expanded this original work into the three-volume series, Schwager on Futures, consisting of the following titles: Fundamental Analysis (1995), Technical Analysis (1996), and Managed Trading: Myths and Truths (1996). He is also the author of Getting Started in Technical Analysis (1999), which is part of John Wiley's popular "Getting Started" series.

Mr. Schwager is a frequent seminar speaker and has lectured on a range of analytical topics with particular focus on the characteristics of great traders, hedge fund investment, performance measurement, technical analysis, and trading system evaluation. He holds a B.A. in Economics from Brooklyn College and an M.A. in Economics from Brown University.

Customer Reviews

Market wizards; interviews with top traders
A book containing fascinating insights into the thought processes, psychology, early failures, successes and experiences of 17 or so succesful traders in several markets; futures, currencies, shares, pit trading, etc. Almost entirely American, covers mainly the 1970's and 1980's situation.

All wrapped up within the framework of interviews by the author, who gives us the impression of bringing a high degree of knowledge as he guides the interviewees into revealing their experiences and principles of operating.

A refreshing antidote to the ten-a-penny instant opinions so readily put out by teenage scribblers everywhere.

This book should certainly be of interest to aspiring traders, probably also to investors who wish to understand more about who they're sharing the market with, and I think to anyone with more than a passing interest in financial markets and psychology - all written in an accessible style.

I enjoyed it hugely.

A primer on key beliefs and fallacies held by professional and lay traders
Market Wizards is the first in a series of three edited collections of interviews of professional traders with fellow trader Jack Schwager. The latter has already earned a reputation as the author of a comprehensible and comprehensive guide to financial futures trading. This book reproduces the first set of interviews taken around 1988 and concerns mainly US futures traders.

The spectrum of interviewees covers both self-made men, career traders and the more academically educated traders who switched to trading. It also includes, quite rightly, a psychologist/trader coach. Some of the names still ring a bell today, Ed Seykota, Paul Tudor Jones, Jim Rogers, Marty Schwartz and Mark Weinstein. Others have been all but forgotten since, but that does not devalue their two cents' worth.

My interest in this book was to assess the drivers that make these traders what they are/were - reputedly highly profitable and successful individuals. The book does deliver in this respect; it distils the interviews down to some of the more pertinent questions.

So, what makes a good trader? A willingness to learn, to dedicate oneself, ability to exercise emotional control and apply trading systems without second guessing, the energy to develop a trading system and to perfect it continuously, the commitment to continuously study the market and develop what-if scenarios, and the courage to cut losers quickly and manage your money, and finally the willigness to suffer the excruciating delay of the gratification coming from locking into profits as they evolve. All in all - hard work, hard work and hard work - as well as some technical knowhow.

The book does not provide trading systems as most traders talk around rather than about their proprietary technology, however they all do emphasise trading systems should be developed or studied so as to at least comprehend how they may influence other market participants. In this respect, a majority of traders makes extensive use of technical analysis in addition to fundamental analysis.

Finally, the book highlights the need for aspiring traders to be aware of their inner self, i.e. the psychological dimension of trading and the interaction with our character traits. In this respect, the book did neatly set the scene for the later and better books "Traders" and "The Psychology of Trading" by Brett Steenbarger.

All in all, the book deserves its place on an aspiring trader's bookshelf and has certainly pointed me to further areas of study and related books.

Learn from other's mistakes
This book is absolutely essential reading for traders just beginning and those experienced traders who "just can't get over the hump". Schwager asks the top traders all the questions that any other trader would want to ask, and pushes the pros to reveal their money and risk management tips and "rules", philosophies, discipline, psychological traits, and general characteristics of successful traders. In addition, there are plenty of good stories the successful traders relate to Schwager, which makes the reading more interesting. Most importantly, the reader will learn the mistakes that most traders make during their careers, and thus why most people never become successful traders. These characteristics of losing traders are compared to those characteristics of the successful traders, and the reader will learn what it takes to make it in the markets, straight from the pros.