Can Hollywood be your Financial Tutor?
In 2011, the European banking system and stock market fell steeply, dragging the global system along with it. Yes, it happened again, but did people really understand what was happening? It seemed like people hadn’t quite mastered the nuances of the financial market and the worldwide crisis, even after the 2008 experience. In July 2014, when Forbes magazine predicted that Wall Street was on the brink of another crisis, Indians inevitably began to fear for their investments.
Do we know enough about the money markets? Hollywood screenwriters and producers have taken it upon themselves to play the role of financial advisors, with a string of blockbuster finance based movies. However, their goal is not to give you easy formulae; they do, however, give you an insight into the mechanics of the market.
Three Cinematic Takes on the Financial Markets
Although these movies showed that the rich financial advisors and bankers loved to ride on helicopters, there is more to take away from these stories.
1. Too Big to Fail (2011): Based on the book by Andrew Ross Sorkin, the movie maps the downfall of Lehman Brothers and the government’s rescue mission. The movie elucidates financial concepts and defines terms for the not-so-sound financial brains. And for eager learners, there were a few dramatic pauses that give you just enough time to take key notes.
2. Margin Call (2011): It does not follow the instructive approach that the movie Too Big to Fail takes on. However, what it does teach you is that the top people who run things might be just as naive as we are. The movie closely follows an investment banking company on the verge of collapse. Through a series of intense boardroom sessions; the firm’s directors comes to grips with reality, tackling the impending fall out.
Although it does not spell out the math, it tells you what not to do. While our financial advisors have the right handle on our finances, it would not hurt to know the basics ourselves.
3. The Wolf of Wall Street (2013): Martin Scorsese's film, starring Leonardo DiCaprio and Jonah Hill, did give a few investment pointers, apart from its entertaining take on debauchery. The movie’s role as financial advisor was crystal clear – if you do not understand how a company is making money and where that money goes, your investment in the firm will be nothing more than a gamble, and when crisis hits, such investment will be the first to fall.
In 2011, the European banking system and stock market fell steeply, dragging the global system along with it. Yes, it happened again, but did people really understand what was happening? It seemed like people hadn’t quite mastered the nuances of the financial market and the worldwide crisis, even after the 2008 experience. In July 2014, when Forbes magazine predicted that Wall Street was on the brink of another crisis, Indians inevitably began to fear for their investments.
Do we know enough about the money markets? Hollywood screenwriters and producers have taken it upon themselves to play the role of financial advisors, with a string of blockbuster finance based movies. However, their goal is not to give you easy formulae; they do, however, give you an insight into the mechanics of the market.
Three Cinematic Takes on the Financial Markets
Although these movies showed that the rich financial advisors and bankers loved to ride on helicopters, there is more to take away from these stories.
1. Too Big to Fail (2011): Based on the book by Andrew Ross Sorkin, the movie maps the downfall of Lehman Brothers and the government’s rescue mission. The movie elucidates financial concepts and defines terms for the not-so-sound financial brains. And for eager learners, there were a few dramatic pauses that give you just enough time to take key notes.
2. Margin Call (2011): It does not follow the instructive approach that the movie Too Big to Fail takes on. However, what it does teach you is that the top people who run things might be just as naive as we are. The movie closely follows an investment banking company on the verge of collapse. Through a series of intense boardroom sessions; the firm’s directors comes to grips with reality, tackling the impending fall out.
Although it does not spell out the math, it tells you what not to do. While our financial advisors have the right handle on our finances, it would not hurt to know the basics ourselves.
3. The Wolf of Wall Street (2013): Martin Scorsese's film, starring Leonardo DiCaprio and Jonah Hill, did give a few investment pointers, apart from its entertaining take on debauchery. The movie’s role as financial advisor was crystal clear – if you do not understand how a company is making money and where that money goes, your investment in the firm will be nothing more than a gamble, and when crisis hits, such investment will be the first to fall.
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