Comments for Dan Ariely

Comment on Apps & Tools by Apparently, I’m human! « IeVa Janus

Apparently, I’m human! « IeVa Janus — Mon, 21 May 2012 07:47:24 +0000

[...] Dan Ariely’s blog and lots of cool things in it. I took a test to evaluate my irrationality here – and even after reading the book I was only “human” (therefore, far from [...]

Comment on The Facebook IPO: A Note to Mark Zuckerberg; or, With “Friends” Like Morgan Stanley, Who Needs Enemies? by PL

PL — Mon, 21 May 2012 03:55:23 +0000

Well, guess your “friend” was wrong about the pop.

He clearly does not understand the value of an investment bank, and the oversimplification of the process takes all the credibility away from his letter. Due diligence is not easier just because Facebook is a well-known company, and doing such a large IPO is much, much more difficult than a small company.

At the end of the day, $150mm is a large absolute sum, but MS is getting paid for creating a market in FB stock. FB isn’t “leaving it on the table” because there would have been no table without using the banks to begin with. If Facebook’s stock rises just a few cents, the value of the bankers is covered many times over.

Comment on The Facebook IPO: A Note to Mark Zuckerberg; or, With “Friends” Like Morgan Stanley, Who Needs Enemies? by Daniel

Daniel — Mon, 21 May 2012 03:29:16 +0000

“Hi, I’m Dan Ariely. I do research in behavioral economics”

Hi Dan, I’m an anonymous coward using the alias Daniel and already posted on the thread before as you can see above. Now that the IPO is already out and you can review the numbers, my post might be better understood.

It would be greatly appreciated if you could do some analyses and make a post from the “behavioral economics” on what caused you to post this article in the first place and receive so many ill-informed supporting posts.

Here’s mine: 1. at troubled times people like to find an easily defined “bad guy” which all their problems and troubles be blamed on. A black and white situation. If you resolve it, you resolve everything. Much easier than taking responsibility for one’s own actions and spending time and effort on learning how the system work. As you are an Israeli, you are familiar with what’s going on in your country. No doubt Israel is guilty of a lot, however it’s obvious it’s not THAT bad. People use it to create this “black and white” situation, where its existence is the source of all evil in the world and resolving it will resolve everything.

I think both these situation stem from the same human psychological behavior.

And now to my super scientific analysis on why some companies succeed in making a fortune from hopeless IPOs: Greed and ignorance.

And of course once the buyers do not make their fortune they will blame the banks and brokers for deceiving them.

And so it goes on…

Comment on The Facebook IPO: A Note to Mark Zuckerberg; or, With “Friends” Like Morgan Stanley, Who Needs Enemies? by David Zetland

David Zetland — Sun, 20 May 2012 13:00:19 +0000

Yes, 0.6% per day would be good, after 100+ days :-\

Comment on The Facebook IPO: A Note to Mark Zuckerberg; or, With “Friends” Like Morgan Stanley, Who Needs Enemies? by David Zetland

David Zetland — Sun, 20 May 2012 12:59:19 +0000

Indeed. It seems that MS et al. had to move fast to keep it above $38…

Comment on It’s not a lie if… by Toronto John

Toronto John — Sun, 20 May 2012 10:53:43 +0000

Bronwyn says this is Wall Street and Mitt. Wall street Serves the stock market which is a voting system where money is betted on future ability of each business. Yes, an IPO is where company owners and their bankers realize the value of their business being now opened up to share future profits with strangers across the land. These funds may get to the front of the line and get a sliver more of money. Those funds are serving teachers and policemen pension funds so the little people in these unions are getting ahead of the person on the street. Is that fair? Should union pensions be stopped because their sheer grouping if many pensions gives them an advantage. Mitt was operating in the private market, far from the public market and with much higher risk that banks would no longer fund, so you are comparing apples with oranges.

Comment on The Facebook IPO: A Note to Mark Zuckerberg; or, With “Friends” Like Morgan Stanley, Who Needs Enemies? by Jamie Calston

Jamie Calston — Sun, 20 May 2012 06:04:04 +0000

If FB stock continues to rise at the rate it did the other day, the it will be a decent long term investment for the average part time trader

Comment on Regret by Greg Jensen

Greg Jensen — Sat, 19 May 2012 23:14:57 +0000

Thank you.

Comment on The Facebook IPO: A Note to Mark Zuckerberg; or, With “Friends” Like Morgan Stanley, Who Needs Enemies? by Evan

Evan — Fri, 18 May 2012 20:25:20 +0000

Look at chart- While it did not “pop” to 50, the stock opened at $42 and traded over 200mm shares above $41.

In other words, retail came in and bought at $42 and the institutions sold it to them.

$4 profit per share in 10 minutes.

Not bad

Comment on The Facebook IPO: A Note to Mark Zuckerberg; or, With “Friends” Like Morgan Stanley, Who Needs Enemies? by Jestyn

Jestyn — Fri, 18 May 2012 20:09:52 +0000

Closed at the end of the first day at 38, the same price it opened.

Over- or under- priced? Discuss…

Seems more likely overpriced to me.