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The James Altucher Show

How Traders Make Billions from Unexpected Events | Scott Patterson (WSJ Reporter and NYT Bestselling Author)

The James Altucher Show

James Altucher

Society & Culture, Talk Radio, Writer, Philosophy, Comedy, Chess, How To, Entrepreneurship, Jay, James, The James Altucher Show, Altucher, Author, Jay Yow, Education, Jay The Engineer, Business, James Altucher

4.62.7K Ratings

🗓️ 6 June 2023

⏱️ 62 minutes

🧾️ Download transcript

Summary

Join us as we delve into the captivating world of Wall Street's most unexpected profits. In this episode, we interview Scott Patterson, acclaimed Wall Street Journal reporter and author of the fascinating book, "Chaos Kings: How Traders Make Billions in the New Age of Crisis". Drawing upon his extensive research and insider knowledge, Scott reveals the secrets of how traders manage to transform unprecedented events, such as the 'Black Swan' and 'Dragon King' phenomena into extraordinary profit-making opportunities.

Transcript

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0:00.0

This is a fascinating story.

0:07.8

Do you know that every time there's a major crisis, 9-11, the 2008 housing crisis, March

0:16.4

2020 with the pandemic, or even in 1987 when the market fell 20% in the day, every time

0:22.7

there's a major, fast crisis like that, there's one type of person, and basically people

0:29.1

who follow this one very, very specific investment strategy that make millions and millions of

0:36.6

dollars.

0:37.6

And this is the only time they make money.

0:39.6

But because no one ever expects a crisis to occur, these people make much more money

0:44.9

than they lose during quiet periods.

0:47.2

So when nothing's happening, when nothing bad is happening, these people lose a tiny

0:50.4

bit of money every month.

0:52.3

But when the crisis happens, they make thousands of percent on their money.

0:57.0

And Scott Patterson wrote a book called Chaos Kings, how Wall Street Chaters make billions

1:02.9

in the new age of crisis.

1:04.2

He doesn't talk about all Wall Street traders.

1:06.0

There's just a handful of people who do this.

1:07.4

That'd be a particular type of person.

1:09.0

And it's a very particular type of strategy.

1:11.8

But we talk about what type of person that is, what type of strategy this is, who these

1:16.5

Chaos Kings are and how much money they make.

1:18.6

They make billions in some cases.

1:20.2

And how you can apply this sort of philosophy to your own life, whether it's investing or

...

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