When Genius Failed

In "When Genius Failed," author Roger Lowenstein chronicles the rise and fall of Long-Term Capital Management, a hedge fund founded by renowned Wall Street trader John Meriwether and his team of elite Ph.D. arbitrageurs. Initially celebrated for their impressive returns and innovative risk models, the fund's fortunes take a dramatic turn when unforeseen global events lead to its collapse, threatening the stability of financial markets. Through confidential memos and interviews with key players, Lowenstein explores the hubris and culture of the late 1990s Wall Street, offering a cautionary tale about the perils of overconfidence in finance.