Soros: The World’s Most Influential Investor | By Robert Slater

BOOK REVIEW

By Cam R

Title: Soros: The World’s Most Influential Investor

Author: Robert Slater

I picked up this book along with Staying Ahead of the Curve (Review Here), as I was fascinated by George Soros. He’s a master trader after all, and if you’re going to learn, you might as well learn from one of the best. In any case, this is a biography of Soros, taking us on a journey from his youth in Nazi-overrun Hungary, to his adult years America, and then to his later philanthropic endeavours. But does it reveal more of his trading insights and methods? We’ll see below.

Packaging - 2/5 (Hardcover)

A nice typical hardcover, about B5 size. The paper quality is good and should not succumb to wear or age easily. The font and spaciousness of the text are easy on the eyes. The title is fine, no arguments from me there. The biggest minus is with the picture used though. Soros looks displeased here. This picture certainly does not convey any aura of him being the world’s most influential investor. In fact, he looks like he has just gotten news of a trade gone wrong. I dropped the score to a 2 from a 3 because of the inappropriate picture choice.

Writing Style - 4/5

The writing style is engaging, and the tone is lively and manages to flow at a brisk pace. An unexpected plus is how Slater describes Soros’s trade in the British Pound, in a time by time breakdown. It reads a little like an action thriller and injects a bit of suspense in the book, which I really enjoyed. Biographies in general can be (really) dull, like a monotonous history book, so something different and engaging should be credited.

Trading Methods (Specifics) - 3/5

This is an unauthorized biography, though the author did do extensive research and also interviews with a number of people who were close to Soros. Some of their comments were really interesting and shed a little more light on his workings.

Soros’s friend Byron Wien on his laid-back approach to life:

“He feels, that he should not be dependent upon other people. Some people spend all day talking to brokers. He doesn't feel that that’s the way to spend all your time. Instead, he prefers to talk to a few people who can be really helpful and to think and read and reflect.

He once said something to me that was very useful: ‘The trouble with you, Byron, is that you go to work every day and you think that because you go to work every day, you should do something. I don’t go to work every day. I only go to work on the days that make sense to go to work… And I really do something on that day. But you go to work and you do something every day and you don’t realize that it’s a special day.’”

How Soros thinks about the positions of his fund managers:

According to Allan Raphael, who worked with him from 1984 to 1988, “if you liked something, he wanted you to talk to someone who didn't like it. He always wanted an intellectual rub there. He always rethinks a position. You always had to rethink it and rethink it and rethink it. Things change. The prices change. Conditions change. It was up to you as a fund manager to constantly rethink your position.”

Trading Management (Soft Skills) - 3/5

There seems to be a strong emphasis on how Soros uses his survival instincts during trading. I suppose this is logical given that we were introduced at the beginning of the book to his childhood, which was shaped in large part by the experience of his family eluding capture by the Nazis.

The book does shed light on one of Soros’s supposedly favourite strategy though.

As recounted by James Marquez, a Soros associate from the 1980s:

“George always used to say, ‘Invest first and investigate later.’ That meant, form a hypothesis, take a toehold position to test the hypothesis, and wait for the market to prove you right or wrong.”

In essence, this favourite Soros strategy could be called “getting a feel” for the market. Soros used this technique only occasionally; when the two worked together in the 1980s, Soros would sometimes tell Marquez that he had this strategy in mind for a particular deal that they were working on.

In those situations, the scenario would sometimes go like this:

After much decision, the two men would finally decide to take a plunge. 
Marquez would then design a staged effect, setting aside a certain amount of the fund for the position.

“All right,” Soros would say, “I want to buy $300 million of bonds, so start by selling $50 million.”

“I want to buy $300 million,” Marquez would remind Soros.

“Yes,” Soros would reply, “but I want to see what the market feels like first. I want to see how I feel as a seller. If it comes very easily, then I want to be even more of a buyer. But if those bonds are really hard to sell, I'm not sure I should be a buyer.”

Trading Psychology (Mindset) - 2/5

I can get a sense of his humour and wit during his casual encounters, but there is not much substance here.

Longevity - 2/5

This book is a thorough and fascinating account of his life, but it is not something that I feel I would reread again. A once-over is sufficient.

Value - 2/5

As a biography of Soros, this book does a fine job taking you walking you through his life from the lens of an outsider. However, if you are interested in trading related stuff, there is not too much here that you can pick up.

Things to Watch Out For -

This is an unauthorized biography, so many of the accounts of his life are culled from external sources like his friends, previous associates and other acquaintances. While I found it mostly genuine, they are still recollections and accounts of the man from people close to Soros, but not from Soros himself.

Overall - 3/5

I enjoyed reading this biography, and it offered a deeper insight into the life of this influential investor. Trading insights wise, it’s relatively sparse, but it accomplishes its goal to give a picture of his life. It’s an easy biography to read on a lazy weekend.

Score Recap:

Packaging - 2/5

Writing Style - 4/5

Trading Methods (Specifics) - 3/5

Trading Management (Soft Skills) - 3/5

Trading Psychology (Mindset) - 2/5

Longevity -2/5

Value - 2/5

Overall - 3/5

Where to Buy:

If you found the above review helpful and want to buy the book, do consider buying it through my affiliate link below. I really appreciate it, and any purchase truly goes a long way in supporting this site. Thank you!

Related Books
If you are interested to find out more about Soros's insights on investing and trading, I really recommend reading his book Staying Ahead of the Curve. Check out my review for more information. (Review Here)


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