Timothy Spangler

Great read for those who have some knowledge, but will be difficult if you don't have a greater background. I think there will be a lot of skepticism depending on what perspective you come from, but the arguments do have good logic to them. I would agree with those who say Spangler does sidestep some issues, but as a MBA student and econ undergrad major, this makes a lot of sense. I think that while good, this book does miss the mark, as I think this was aimed at dispelling myths about the crisis and industry, but I don't think the people it was aimed at dispelling the myths will read this book, and if they do, are provided enough background to fully process.… (meer)

One Step Ahead is not an easy book for those with no more than a passing interest in the world of hedge funds. The Prologue and the Foreword both signal an accessible, if not thorough, look at the present state of private equity / hedge fund markets, and yet there's still an expectation for the reader to be well past the Intro to Financial Markets level of knowledge.

The problems faced by fund managers are compounded by the PR problems of hedge funds in general. Mistrust of Wall Street is still high, and while Timothy Spangler makes a strong case for the necessity of hedge funds—arguably one of the most efficient ways to connect investors with producers—the creation and management of such funds are inherently complex and further shrouded in secrecy by only being available to certain accredited investors.

I highly doubt hedge funds will ever be regulated out of existence. Their value is too great given the innate risks. I recommend Spangler's book if only to dispel many of the myths and falsehoods surrounding this component of the financial sector. If you're looking for an introduction to the topic, I recommend looking elsewhere first.… (meer)

This book is aimed at explaining hedge funds and private equity firms, two financial entities most people aren't aware of or understand. There's a good reason for this: these funds constitute such risky investments that the Securities and Exchange Commission (SEC) does not regulate them other than to limit them to high-stakes investors (an investor must have a minimum of $25 million in investible funds), as those people are the only ones who can afford to lose significant sums of money.

Hedge funds are investment vehicles that get involved in high-risk investments: mezzanine loans (unsecured loans), foreign currency, and other "alternative" investments. The potential for failure can be high, but the rewards are also high.

Private equity firms are collections of investors who pool their money to buy companies, with the intent of operating them, rehabilitating them, or repackaging them for resale.

As you read Spangler's exposition you get the feeling that he's dodging real issues, as he rarely gets to the point of the discussion, but talks around points, justifying the activities involved in the two vehicles or cheerleading the people participating in them. You are never unsure of where Spangler stands; he is solidly in favor of hedge funds and private equity firms and, in particular, worships the managers who guide them. He is unabashedly unapologetic about the amount of money involved in these investments and the high salaries commanded by their managers. This book is clearly aimed at defending the 1% - the richest Americans.

This book is going to be inaccessible to the average reader; one needs familiarity with investing, government regulation of financial enterprises, and the alternative means of making money besides stocks and bonds. An understanding of contracts, fiduciary responsibilities, and corporate management is also helpful. While Spangler does discuss and explain everything, his exposition is not always the clearest. The book has a clear bias. I do not recommend.… (meer)