Lecture 1 - Introduction to Interest

What interest is. Simple versus compound interest.

Lecture 2 - Interest Part 2

More on simple and compound interest.

Lecture 3 - Introduction to Present Value

A choice between money now and money later.

Lecture 4 - Present Value 2

More choices as to when you get your money.

Lecture 5 - Present Value 3

What happens when we change the discount rate?

Lecture 6 - Present Value 4 (And Discounted Cash Flow)

Lets change the discount rates depending on how far out the payments are.

Lecture 7 - Introduction to Balance Sheets

Using a home purchase to illustrate assets, liabilities and owner's equity.

Lecture 8 - More on Balance Sheets and Equity

What happens to equity when the value of the assets increase or decrease.

Lecture 9 - Home Equity Loans

Simple example of borrowing from equity to fuel consumption.

Lecture 10 - Renting vs. Buying a Home

The math of renting vs. buying a home. Challenging the notion that it is always better to buy.

Lecture 11 - Renting vs. Buying a Home Part 2

Factoring in appreciation and depreciation into the rent vs. buy decision.

Lecture 12 - Renting vs. Buying (Detailed Analysis)

Detailed analysis of the rent vs. buy decision.

Lecture 13 - The Housing Price Conundrum

Why did housing prices go up so much from 2000-2006 even though classical supply/demand would not have called for it.

Lecture 14 - The Housing Price Conundrum Part 2

How lower lending standards led to housing price inflation.

Lecture 15 - The Housing Price Conundrum Part 3

Why did lending standards become more and more lax from 2000 to 2006?

Lecture 16 - Virtuous Circle of Housing Price Appreciation

The virtuous circle of housing price appreciation making defaults go down making lending lax making housing appreciate even more.

Lecture 17 - Raising Money For a Startup

Raising money from an angel investor. Pre-money and post-money valuation.

Lecture 18 - Getting a Seed Round From a VC

Series A funding from a seed venture capitalist.

Lecture 19 - Going Back to the Till: Series B

More on the series A financing. Going back for another round with a series B financing.

Lecture 20 - An IPO

The initial public offering of our online sock company.

Lecture 21 - More on IPOs

Public vs. Private Equity. Why people buy equity to begin with.

Lecture 22 - What It Means to Buy a Company's Stock

What it means to buy a company's stock.

Lecture 23 - Bonds vs. Stocks

The difference between a bond and a stock.

Lecture 24 - Shorting Stock

What does it mean to short a stock?

Lecture 25 - Shorting Stock 2

More on the mechanics of shorting stock.

Lecture 26 - Is Short Selling Bad

A discussion of the virtues and/or vices of short selling.

Lecture 27 - Chapter 7: Bankruptcy Liquidation

Introduction to bankruptcy liquidation (Chapter 7).

Lecture 28 - Chapter 11: Bankruptcy

Chapter 11: Restructuring through a bankruptcy

Lecture 29 - Return on Capital

Introduction to return on capital and cost of capital. Using these concepts to decide where to invest.

Lecture 30 - Introduction to the Yield Curve

Introduction to the treasury yield curve.

Lecture 31 - Introduction to Compound Interest

Compounding interest multiple times a year.

Lecture 32 - Compound Interest and e (Part 2)

Compounding 100% annual interest continuously over a year converges to e (2.71...).

Lecture 33 - Compound Interest and e (Part 3)

Continuously compounding $P in principal at an annual interest rate of r for a year ends up with a final payment of $Pe^r.

Lecture 34 - Compound Interest and e (Part 4)



Continuously compounding for multiple years.

Lecture 35 - Bailout 1: Liquidity vs. Solvency

Review of balance sheets. Difference between illiquidity and insolvency.

Lecture 36 - Bailout 2: Book Value

Hypothetical bank balance sheet. What book value means.

Lecture 37 - Bailout 3: Book Value vs. Market Value

What it means when the market value of a stock is different from its book value.

Lecture 38 - Bailout 4: Mark-to-model vs. Mark-to-market

Different ways of accounting for an asset. Mark-to-model vs. mark-to-market.

Lecture 39 - Bailout 5: Paying Off the Debt

How the bank can liquidate assets to pay off debt that comes due.

Lecture 40 - Bailout 6: Getting an Equity Infusion

The bank gets bailed out by an equity infusion from a sovereign wealth fund.

Lecture 41 - Bailout 7: Bank Goes Into Bankruptcy

What happens when there is no equity infusion and the bank goes in to bankruptcy.

Lecture 42 - Bailout 8: Systemic Risk

How the banks are connected. What happens when one bank fails.

Lecture 43 - Bailout 9: Paulson's Plan

What Paulson wants to do and why I don't like it.

Lecture 44 - Bailout 10: Moral Hazard

Alternate plans and moral hazard.

Lecture 45 - Credit Default Swaps

Introduction to credit default swaps.

Lecture 46 - Investment vs. Consumption 1

The difference between investment and consumption.

Lecture 47 - Investment vs. Consumption 2

More investment vs. consumption examples.

Lecture 48 - Bailout 11: Why These CDOs Could Be Worth Nothing

Why a CDO could be worth nothing even though they are "collateralized".

Lecture 49 - Bailout 12: Lone Star Transaction

A real life example of a transaction involving CDOs.

Lecture 50 - Bailout 14: Possible Solution

A solution that is MUCH fairer that has a MUCH better chance of working!

Lecture 51 - Bailout 15: More On the Solution

More on the "Plutsky Plan".

Lecture 52 - Banking 1

Introduction to how banks make money and the value they (potentially) add to society.

Lecture 53 - Banking 2: A Bank's Income Statement

Introduction to the income statement of a bank (and to income statements in general).

Lecture 54 - Banking 3: Fractional Reserve Banking

Fractional reserve banking and the multiplier effect. Introduction to the money supply.

Lecture 55 - Banking 4: Multiplier Effect and the Money

How "money" is created in a fractional reserve banking system. M0 and M1 definitions of the money suppy. The multiplier effect.

Lecture 56 - Personal Bankruptcy: Chapters 7 and 13

Chapter 7 and Chapter 13 personal bankruptcy. This video was sponsored by Visa, but I had complete editorial freedom as to its contents.

Lecture 57 - The Rule of 72 for Compound Interest

Using the Rule of 72 to approximate how long it will take for an investment to double at a given interest rate.

Lecture 58 - Annual Percentage Rate (APR) and Effective APR

The difference between APR and effective APR.

Lecture 59 - Introduction to Bonds

What it means to buy a bond.

Lecture 60 - Relationship Between Bond Prices and Interest Rates

Why bond prices move inversely to changes in interest rate.

Lecture 61 - Introduction to Mortgage Loans

Introduction to mortgage loans.

Lecture 62 - Traditional IRAs

Introduction to traditional IRA's (Individual Retirement Accounts).

Lecture 63 - Roth IRAs

Introduction to Roth IRA's.

Lecture 64 - 401(k)s

Introduction to 401(k)s.

Lecture 65 - Payday Loans

How Payday lending works.

Lecture 66 - Institutional Roles in Issuing and Processing Credit Cards

The institutions involved in processing your credit credit and how they relate to each other.

Lecture 67 - Ponzi Schemes

Ponzi Schemes.

Lecture 68 - Correction to 401(k) Video

Correction to 401(k) video.