Last visit was: 19 Nov 2025, 11:46 It is currently 19 Nov 2025, 11:46
Home
GMAT
Messages
Tests
Schools
Events
Rewards
Chat
My Profile
Close
GMAT Club Daily Prep
Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track
Your Progress

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History
Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.
Go to My Error Log Learn more
Close
Request Expert Reply
Confirm Cancel
User avatar
bsd_lover
User avatar
Joined: 17 May 2007
Last visit: 15 Mar 2020
Posts: 2,432
Own Kudos:
1,735
Given Kudos: 210
Posts: 2,432
Kudos: 1,735
So who's winning here 03 Oct 2008, 16:57
Kudos
Add Kudos
Bookmarks
Bookmark this Post
The very first book I read about markets is that trading is a zero sum game. For every loser, there is a winner. So, my question is : who is winning in this crash ? Or to use a broader context, who won in this entire subprime business ?

Some of my own thoughts :
- Mortgage brokers and real estate agents (they thrive on sales and commissions, and there was plenty of it pre subprime)
- Large builders and developers who developed and sold these houses (and the rest of real estate industry as a flow on)
- Hedge funds who were short on subprime related entities (this was during the crash)
- Who else ?
User avatar
togafoot
User avatar
Current Student
Joined: 18 Dec 2007
Last visit: 29 Jul 2014
Posts: 983
Own Kudos:
145
Given Kudos: 10
Location: Hong Kong
Concentration: Entrepreneurship, Technology
Schools: Hong Kong University of Science and Technology (HKUST) - Class of 2010
Schools: Hong Kong University of Science and Technology (HKUST) - Class of 2010
Posts: 983
Kudos: 145
So who's winning here 05 Oct 2008, 04:35
Kudos
Add Kudos
Bookmarks
Bookmark this Post
Employees and managers through their bonuses.
User avatar
jb32
User avatar
Joined: 20 Feb 2008
Last visit: 06 Jun 2010
Posts: 773
Own Kudos:
155
Given Kudos: 9
Location: Texas
Concentration: Finance
Schools:Kellogg Class of 2011
Posts: 773
Kudos: 155
So who's winning here 05 Oct 2008, 13:21
Kudos
Add Kudos
Bookmarks
Bookmark this Post
'Trading' is a zero-sum game, but 'investing' is usally a positive-sum game since over the long-haul wealth is generally created and stocks go up. Those seeking Alpha are generally the losers in the market, or put simply, the people trying to beat the market. Some people can beat the market, but not over the long-term.

Here's a good article about the difference between 'traders' and 'investors':

https://www.247wallst.com/2007/03/why_trading_is_.html
User avatar
kwam
User avatar
Joined: 09 Jan 2007
Last visit: 19 Oct 2013
Posts: 1,018
Own Kudos:
167
Given Kudos: 3
Location: New York, NY
Concentration: Analytic Finance, Economics and Strategic Management
Schools:Chicago Booth Class of 2010
Posts: 1,018
Kudos: 167
So who's winning here 05 Oct 2008, 17:10
Kudos
Add Kudos
Bookmarks
Bookmark this Post
jb32
Those seeking Alpha are generally the losers in the market, or put simply, the people trying to beat the market. Some people can beat the market, but not over the long-term.
Show more

Tell this to Mr Buffet :lol: ...
avatar
edwarise
avatar
Joined: 26 Jan 2008
Last visit: 08 Oct 2008
Posts: 19
Own Kudos:
9
Posts: 19
Kudos: 9
So who's winning here 08 Oct 2008, 09:31
Kudos
Add Kudos
Bookmarks
Bookmark this Post
who win after the US empire crash? I think it's future powers - China, Russia and India. They will be back on the top after a few centures behind last empires - Spanish empire, Osman empire, then British empire, the Austrian empire, then Soviet empire and then the American one. who will be the next? God knows.
User avatar
marshpa
User avatar
Joined: 26 Mar 2008
Last visit: 08 Mar 2010
Posts: 145
Own Kudos:
809
Given Kudos: 4
Location: Washington DC
Posts: 145
Kudos: 809
So who's winning here 08 Oct 2008, 13:40
Kudos
Add Kudos
Bookmarks
Bookmark this Post
Though its complete meltdown but I guess wall street is going to bounce back..pretty soon, I hope!!
User avatar
jb32
User avatar
Joined: 20 Feb 2008
Last visit: 06 Jun 2010
Posts: 773
Own Kudos:
155
Given Kudos: 9
Location: Texas
Concentration: Finance
Schools:Kellogg Class of 2011
Posts: 773
Kudos: 155
So who's winning here 08 Oct 2008, 17:49
Kudos
Add Kudos
Bookmarks
Bookmark this Post
edwarise
who win after the US empire crash? I think it's future powers - China, Russia and India. They will be back on the top after a few centures behind last empires - Spanish empire, Osman empire, then British empire, the Austrian empire, then Soviet empire and then the American one. who will be the next? God knows.
Show more
Their recession is coming next. Remember, just about every other country is dependent on the US as a market for their goods. As goes the US consumer, goes the manufacturing based economies around the world.
User avatar
togafoot
User avatar
Current Student
Joined: 18 Dec 2007
Last visit: 29 Jul 2014
Posts: 983
Own Kudos:
145
Given Kudos: 10
Location: Hong Kong
Concentration: Entrepreneurship, Technology
Schools: Hong Kong University of Science and Technology (HKUST) - Class of 2010
Schools: Hong Kong University of Science and Technology (HKUST) - Class of 2010
Posts: 983
Kudos: 145
So who's winning here 08 Oct 2008, 20:15
Kudos
Add Kudos
Bookmarks
Bookmark this Post
Actually, domestic demand in China is increasing, which is offsetting reduced US demand. China is not as dependent on the USA as they were 5/6 years ago. Furthermore, there is no credit crises between Asian banks they are very well capitalised and liquid. The main issue there is that their stock prices were extremely overpriced, there PE ratios were far too high. The last few times the chinese market tanked (-70%, -60% and -70%) it rebounded by 5-600%.

According to some reports i`ve read (Analysts specialising in Asia), most are looking for it to rebound around the turn of the year to spring. Furthermore, the employment landscape in China is not too bad. The MNC`s may have forzen headcounts, but the local companies are still growing and expanding. If policy allows, i can envisage chinese companies doing what Indian companies have been doing and starting to acquire cheap companies.
User avatar
antapple
User avatar
Joined: 11 Jan 2007
Last visit: 05 Mar 2011
Posts: 201
Own Kudos:
30
Posts: 201
Kudos: 30
So who's winning here 26 Nov 2008, 19:08
Kudos
Add Kudos
Bookmarks
Bookmark this Post
forget managers, ceo's and the rest of the funky bunch

I'm loosing now but hope to win on the future... (this market killed my postions)
provided that one gets a job, I think that a downturn is the place to start it. higher level of responsability and when things start to get better, hopefully quicker promotions...