Just answer these Larry Summers hedge fund interview questions:
1. Ten people are bidding on a stock at 90, while 100 people are offering to sell it at 91. What price is the next trade?
2. There’s a dollar on the table. I’m going to flip a coin. If it comes up heads, I’ll double the money. If it comes up heads again, I’ll double it again. Whenever it comes up tails, we stop.
But there’s a catch: You have to pay a fee to play. How much are you willing to pay?
3. x = the economy
x + y = the economy not all screwed up
Can you go 3 for 3?
Mr. Roche is the Founder and Chief Investment Officer of Discipline Funds.Discipline Funds is a low fee financial advisory firm with a focus on helping people be more disciplined with their finances.
He is also the author of Pragmatic Capitalism: What Every Investor Needs to Understand About Money and Finance, Understanding the Modern Monetary System and Understanding Modern Portfolio Construction.