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So 2000 could have been 1900, and that could have caused challenges. So I tend to view computer coding not that dissimilar to communicating in a foreign language. A lot of times you’re learning your French, Spanish to communicate with someone in a different country. 2000 is kind of a blur to me. MARTIN: Yeah.
I — I loved math, but really, I was going to go down that literature route more than anything else and — and study Spanish literature. And so, if you were someone who was sitting in cash, let’s say from like 2000 to 2010, you were earning on a real basis about three percent per annum. I was econ and kind of geeky.
You had the run up in the dot coms to 2000. SEIDES: And I’ll tell you a story that’s fun about the communication of it too. ” 29, 87, 74, just pick any 50 plus percent number and certainly 2000 and ’08, ’09, a major index gets cut in half. And what was his response? SEIDES: Yeah. RITHOLTZ: 2007.
SETHI: Well, everybody thought they were a genius including me in 1999, 2000. It’s much deeper than math. I remember where I was, they emailed me and it said, would you be interested in sitting down for a meeting and also should we communicate through you, or do you have representation? RITHOLTZ: Sure. RITHOLTZ: Right.
I took a lot of math classes. I couldn’t give up math in computer science. I think it was just the way it was communicated, right. But the flip side of that is, I, I vividly recall in 2000, right in the middle of the.com implosion going to London, going to Brussels, and New York was very stressed out. at Wellesley.
ANAT ADMATI, PROFESSOR OF FIANCE AND ECONOMICS, STANFORD GRADUATE SCHOOL OF BUSINESS: So, my journey starts where I took a lot of math. I was good in math and I love the math. So, I was kind of, in my romantic mind when I was in my early 20s, I was going to take but not give back to math, that kind of thing.
And so it’s, it’s sort of managing that, all of those different constituents with communication. And then I developed this macro affinity starting in 2000, really? I would, I would say, of all the things, all the skills that I’ve acquired over the years, probably my best skill is communication.
When you look at the 82 to 2000 bull market, something like 75% of those gains came not from earnings growth, but from multiple expansion. And until they decide to communicate a different message, that’s what the market is going to continue to follow. RITHOLTZ: Right. The 2010s were certainly the TINA decade.
And so the idea of this product was you plug the game cartridge, they had a communications capability, a modem built in, and you could download video games, almost like having an in-home arcade, like a Netflix for video. The math never seems to work out. So let’s circle back to 2000, the Time Warner-AOL deal goes through.
So I, I did a math degree at Oxford, which is more pure math. You know, pure math can be very theoretical and detached from the real world, and it’s getting worse. Some people look at a casino as entertainment and hey, we’re gonna spend X dollars, pick a number, 500, 2000, whatever it is.
KLINSKY: That was a super hot theme in the year 1999 and 2000. There was XO Communication and McLeod. RITHOLTZ: So it’s different math then I need 100x winner versus 99? After I left, they changed their strategy and went into what were called CLECs. RITHOLTZ: That was the George Gilder telecosm debacle. RITHOLTZ: I recall.
Sander Gerber : Well, actually I was good at math. If the s and p moves by 10 basis points, it doesn’t communicate to you how the s and p affects other things. Because if you don’t include every single data point, then in the matrix math you have a divide by zero issue. What was the career plan?
And that’s, that’s the predecessor to Amherst, which we bought in 2000 and had been running it since then. So think about 2003 home prices had gone up a lot from 2000. So mortgage position in 2000 were way more valuable in 2003 than they were when they originated because they weigh less credit risk. Anything else?
I started out math and, and physics, and in high school I was a rock star in math and physics. Now, I participated in some of that as a research analyst by looking at companies like Total Access Communications that tie wireless company, PL dt, Philippine, long Distance Telecom. But those guys are great, right? Cents a dollar.
So, I did the math, 20 million times a hundred. So, let me just repeat the math. And so, again, I went through this simple math. When he came to power in year 2000, he wasn’t powerful like he is today. And so, it wasn’t just a fishing boat, it was an oceangoing factory, very impressive. They said, seven years.
And I, and I really like the application of math and statistics and computer science to markets. You learn the math that can help you with, with market making operations. And I think that helped fuel the smart beta boom of the 2000 tens. It’s just not smart on a math basis to do that. And I just caught the bug.
Yeah, you have to, you know, the conceit of finance is that basically the math is all there is to it. So you mentioned half math, half Shakespeare. Let’s talk about the math side. Ivanka said, oh no, you don’t have to be able to do math to do real estate 00:20:13 [Speaker Changed] Or investing for that math.
In 2000, I mean, sorry, in 1980, I was 15 years old, I’m sneaking into comedy clubs watching, you know, Jim Carrey and Dave Thomas and, you know, like everybody could show up on a night. I mean, a lot of the best trades that Cramer did as a hedge fund manager, you know, tapping out before everything went to hell in 2000.
Colin Camerer : So I, some of it was when I was in college at Johns Hopkins, I, I studied physics and math. And there was people, Physics didn’t have, people, psychology didn’t have math, economics was kind of the right mix. The math doesn’t math. That was too abstract. Yeah, I’m gonna vote.
So this is after March of 2000, his famous op-ed “Big-Cap Tech Stocks are a Sucker’s Bet.”. In every recession, except one and that was the tech bust of 2000, the drawdown of REITs was greater than the S&P 500. Then 25 years after that, in 2000, well, we all know dot-com burst and then bust. You have to apply.
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