A revealing look at Wall Street, the financial media, andfinancial regulators by David Einhorn, the President of GreenlightCapital
Could 2008s credit crisis have been minimized or even avoided?In 2002, David Einhorn-one of the countrys top investors-was askedat a charity investment conference to share his best investmentadvice. Short sell Allied Capital. At the time, Allied was a leaderin the private financing industry. Einhorn claimed Allied was usingquestionable accounting practices to prop itself up. Soundfamiliar? At the time of the original version of Fooling Some ofthe People All of the Time: A Long Short Story the outcome ofhis advice was unknown. Now, the story is complete and we knowEinhorn was right. In 2008, Einhorn advised the same conference toshort sell Lehman Brothers. And had the market been more open tohis warnings, yes, the market meltdown might have been avoided, orat least minimized.