The Skin Game may refer to:
- The Skin Game (play), a play by John Galsworthy
- The Skin Game (1921 film), a 1921 Dutch film, based on the play
- The Skin Game (1931 film), a 1931 film directed by Alfred Hitchcock, also based on the play
- "The Skin Game", a song by Gary Numan from Machine and Soul
YouTube Encyclopedic
-
1/1Views:9 539
-
Nassim Taleb: Skin in the Game
Transcription
I believe in something I call skin in the game, okay, skin in the game is defined skin in the game is most moral and effective to remove risks is that nobody should ever put someone else at risk. I don't really care about compensation, okay. I don't really care about ranking, because you can't have a trading competition because someone has a strategy that pays off very rarely, okay. He would lose in the competition, he would lose every battle and win the war, you see. So, I can't really rank traders, but there is one rule I have, I call, skin in the game is that nobody should put others at risk, without having harm to himself, okay. In other words if you lose money to your clients, you should be exposed to the same risk, that's sort of - it boasts moral and risk management rule. Risk management because in Hammurabi's code, it was simple as the architect builds the house and the house is fragile, but hidden fragilities in a basement, you get the idea when the foundation like in the bank system, banking system they look very stable when they have the cut corners that nobody will see okay to make the bonus and if the house collapses the architect is penalized that was in Hammurabi's code. Actually, he's put to death, if the house collapses and kills the owner of the house. So, this system, okay, is the best, this is the best risk management rule, because as Hammurabi discovered that something they forget today in Washington, the architect or engineer knows a lot more about the risks. He doesn't know a lot about the risks, but he definitely knows a lot more than the inspector, you see, so if you make people eat their own cooking, you see they are lot better off, okay and someone sent me, read my book and sent me something, a story in Brazil where they discovered that they can lower the rate of helicopter crashes by forcing helicopter engineers randomly to take a ride, a half an hour ride once a month in a helicopter, alright. Now for example something the Romans knew and Victorian knew that you make engineers sleep under the bridge, alright. Okay, so in trading what do you do, so long as whoever is involved in a strategy has losses, small, okay, it doesn't matter, alright has losses, if they can harm others, in other words you have some incentive, but some disincentive then we should be okay. It's when people don't have disincentive when they lose that the system blows up.
Skin Game
Skin Game may refer to:
- Skin Game, a 1971 movie comedy starring James Garner and Louis Gossett, Jr.
- Skin Game (The Dresden Files), a Dresden Files novel by Jim Butcher
- Skin Game a 2009 paranormal romantic suspense novel by Ann Aguirre
- See also
See also
- Skin in the Game (disambiguation)
- Skins game, a type of scoring for various sports
- All pages with titles beginning with The Skin Game
- All pages with titles containing The Skin Game