1- V.Niderhoffer - Universities of exchange spekulta

I'm tired of listening to the teacher talk to me, "You have to understand this, because you have a father - a policeman. You have to set an example to others.

Arthur Niderhoffer, from the memoirs of his son

"Get out! This is not the strength, you have not grown as to the market! "

These cries, sounding with a Hungarian accent, pointing to me. My daughter Katie struggling with the waves of the Atlantic rolling on the shore of Long Island in Southampton. Ocean awakened by Hurricane "Andrew", raged the entire weekend in August 1992. We turn around. Before us our hospitable host - the legendary and undefeated George Soros, the same king of speculators, who once managed to topple the Bank of England. It tiny trunks - as well as many older wealthy Europeans on holiday sixty Soros allows himself some liberty in the suit.

This is too much! My former boss, bilious billionaire who had invited us to his country house at the weekend, shouting at me.

"No, I - I object. - This method is recommended by the great Francis Galton: sit facing the water, buried his hands in the sand and let the waves roll through you. " Although I did not had the fate of spend his childhood in Southampton, where the air is filled with aromas, where the sun shines brightly, and the waves are too high for ordinary hard workers like me, who grew up in Brighton Beach in Brooklyn, I say: "I know perfectly well what the big waves . This is my ecological niche. "

Never forget to think in advance the way to escape, I hastily added: "Whatever it was, good people can always save a drowning man. It should be built in the chain, firmly taking each other's hands, and those who come, - that is, you, Soros - has to grab me at the last moment before a wave hath ebbed. "

As much as I bragging me shiver. I - a speculator, I make bread that tossed big waves. Strictly speaking, my function in the economy lies in the fact that I provide the balance of supply and demand. I sell when prices rise, and buy when they fall. When prices rise and consumers tend rather to exchange their money for the goods, I take their money and give them the goods. So I force down prices and prevent the emergence of shortages. When prices fall, and manufacturers need to get money for their products, I give them money and take their goods. Thus, maintaining the price level, I prevent the bankruptcy of the manufacturer, regulating the production of commodities. It's like the captain distributes food supplies in unexpectedly prolonged flight.

Rolled ashore huge ocean waves, with whom I have fought in the day were generated proved to be the strongest in the last twenty years of the hurricane. Although I did not say anything, George, it was clear that there is something unusual.

Even in this age of high-tech natural disasters often cause turmoil in global markets. Volcanic eruptions, storms, earthquakes - all this affects the stock markets and financial systems of the modern world.

It happened at that time. The market turmoil following the hurricane "Andrew" after two days, I almost drowned (Soros was right when he advised to get out of the water!). Crumbled treasury market [Treasury bills - securities certifying their submission holders of funds in the state budget and give the right to a fixed income over the life of ownership of these securities. - Note. Ed.], and shares [shares - securities certifying the investment of capital and guarantees a portion of its profits as dividends. - Note. Ed. ], Presumably due to the fact that insurance companies were forced to throw the market a large amount of bonds, [Bond - a security certifying the introduction of its own funds and supporting the obligation to compensate it for the nominal value of the security provided to it in the period, with the payment of a fixed percent. In contrast, shares of the bond does not give the owners the right to v