The Losing Game: Why You Can’t Beat Wall Street
Author: T. E. Scott with Stephen Edds
Publisher: Hidden Truth Publishing
Rating: + half
Reviewed by: Gary Mack
This is a conspiracy book about Wall Street. Like one of your father’s rants, this book is goes on and on about the minus/sum game of Wall Street investing. Scott asserts early that Wall Street is nothing but a massive scam created merely to pull the hard earned money from the pockets of the common man. With constant references to Vegas, Scott wants you to conclude that Wall Street is nothing but high society’s version of casino gambling.
I can honestly say that by eighth grade, I knew that Wall Street was a place where people with disposable income went to purchase stock in corporations they hoped increased in value. I assumed, like any investment, those involved knew they were taking a risk and for some time after their initial capital investment, they would be in arrears.
As an adult, once I began investing, I was certainly under no illusion that I was going to automatically reap huge windfalls simply for my stock purchases. Like when I borrowed money to start my corporation, it was years later before my loan was paid off and I began to profit from my idea and hard work.
What Mr. Scott forgets is that Wall Street is a nebulous institution. There is no Mafia family running the enterprise, as he would lead you to believe. As in any stage where competition takes place, there are those who play the game at a higher level. To assert that Wall Street was conceived by a group or master race, who like puppeteers, pull the strings that easily rip off on a daily basis the hard earned money of working class people is nonsensical.
On a positive front, for the sake of the newbie investor, Mr. Scott explains how hedging works, details facts about derivatives, and gives a rudimentary assessment of the actual tracking methodology of the Dow Jones Index. The chapters on the meat and guts of how Wall Street works are the unhidden strengths of the book.
Had his book been slanted more toward simply helping out the uncertain investor, I believe Mr. Scott would have had a winner. Instead, The Losing Game comes across too much like your typical conspiracy tale, whereby, a lot of scandalous events or sightings occur right in front of your eyes, yet you, or anyone else but the author, never sees it happening. The constant repetition of the author’s theme unnerves the reader and trips your concentration from focusing on the important subject matter at hand. And that’s a shame. For it’s there that Mr. Scott has a lot of good advice to give to the investing public.