Patrick O'Shaughnessy: "An older book, but a wonderful history of our concept of risk.
This is a valuable read for any serious investor out there (and an enjoyable one for casual investors)."
Michael Mauboussin: "Traces the path of the intellectual understand of risk. A must read."
Howard Marks: “Bernstein talks in this book about the development of the science of probability and how the concepts of probability permitted us to get involved in transferring risk from those of us who want to avoid risk to those of us who are willing to take it – and I think that that is an essential concept.”
With the stock market breaking records almost daily, leaving longtime market analysts shaking their heads and revising their forecasts, a study of the concept of risk seems quite timely.
Peter Bernstein has written a comprehensive history of man's efforts to understand risk and probability, beginning with early gamblers in ancient Greece, continuing through the 17th-century French mathematicians Pascal and Fermat and up to modern chaos theory.
Along the way he demonstrates that understanding risk underlies everything from game theory to bridge-building to winemaking.