--- title: "Meaning & Key Takeaway of: On its surface, the booming market in…" description: "\"“On its surface, the booming market in side bets on subprime mortgage bonds seemed to be the financial equivalent of fantasy football: a benign, if sil..." image: "https://sms4smile.com/quotes/i/b3a/michael-lewis-705_ball-player_on-its-surface-the-booming-market-in-sid_685448.png" --- # On its surface, the booming market in side bets on… ![“On its surface, the booming market in side bets on subprime mortgage bonds seemed to be the financial equivalent of fantasy football: a benign, if silly, facsimile of investing. Alas, there was a difference between fantasy football and fantasy finance: When a fantasy football player drafts Peyton…” quote by Michael Lewis](https://sms4smile.com/quotes/i/b3a/michael-lewis-705_ball-player_on-its-surface-the-booming-market-in-sid_685448.png) [Download](https://sms4smile.com/quotes/i/b3a/michael-lewis-705_ball-player_on-its-surface-the-booming-market-in-sid_685448.png) [Open image](https://sms4smile.com/quotes/i/b3a/michael-lewis-705_ball-player_on-its-surface-the-booming-market-in-sid_685448.png) > ““On its surface, the booming market in side bets on subprime mortgage bonds seemed to be the financial equivalent of fantasy football: a benign, if silly, facsimile of investing. Alas, there was a difference between fantasy football and fantasy finance: When a fantasy football player drafts Peyton Manning to be on his team, he doesn’t create a second Peyton Manning. When Mike Burry bought a credit default swap based on a Long Beach Savings subprime–backed bond, he enabled Goldman Sachs to create another bond identical to the original in every respect but one: There were no actual home loans or home buyers. Only the gains and losses from the side bet on the bonds were real.”” [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. The quote warns that financial derivatives can create synthetic assets detached from real underlying value, leading to hidden risks. **In simple terms:** Synthetic bets can hide real risks. Key Takeaway Beware of financial products that lack real backing. Themes finance risk synthetic assets market speculation Mood cautious critical analytical Type warning educational When to use this quote - investment banking - risk assessment - regulatory review - academic study Key Concepts derivatives moral hazard financial engineering Questions to Reflect On - How do you evaluate the real backing of a financial product? - What safeguards can prevent synthetic asset bubbles? A Different Perspective Synthetic assets may still cause systemic crises despite appearing harmless. ★ ★ ★ ★ ★ No ratings yet [Ball player](https://sms4smile.com/quotes/about/ball-player/) [Bet Bonds](https://sms4smile.com/quotes/about/bet-bonds-5415214/) [Bets Subprime](https://sms4smile.com/quotes/about/bets-subprime-5415213/) [Credit default swap](https://sms4smile.com/quotes/about/credit-default-swap/) [Customer](https://sms4smile.com/quotes/about/customer/) [Fantasy Finance](https://sms4smile.com/quotes/about/fantasy-finance-5415212/) [Fantasy football](https://sms4smile.com/quotes/about/fantasy-football/) [Finance Fantasy](https://sms4smile.com/quotes/about/finance-fantasy-2394111/) [Football player](https://sms4smile.com/quotes/about/football-player/) [Goldman sachs](https://sms4smile.com/quotes/about/goldman-sachs/) [Investing](https://sms4smile.com/quotes/about/investing/) [Long beach](https://sms4smile.com/quotes/about/long-beach/) [Mike-burry](https://sms4smile.com/quotes/about/mike-burry-122146/) [Money](https://sms4smile.com/quotes/about/money/) [Peyton Manning](https://sms4smile.com/quotes/about/peyton-manning/) [Subprime Backed](https://sms4smile.com/quotes/about/subprime-backed-5415215/) [Subprime-mortgage-bonds](https://sms4smile.com/quotes/about/subprime-mortgage-bonds-179769/) [Wall street](https://sms4smile.com/quotes/about/wall-street/) ## Related quotes > [The arrangement bore the same relation to actual finance as fantasy football bears to the NFL.](https://sms4smile.com/quotes/michael-lewis/the-arrangement-bore-the-same-relation-to-actual-finance-as-fantasy/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [“There was more than one way to think about Mike Burry’s purchase of a billion dollars in credit default swaps. The first was as…](https://sms4smile.com/quotes/michael-lewis/there-was-more-than-one-way-to-think-about-mike-burry-s-purchase-of-a/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [“When the Goldman Sachs saleswoman called Mike Burry and told him that her firm would be happy to sell him credit default swaps in…](https://sms4smile.com/quotes/michael-lewis/when-the-goldman-sachs-saleswoman-called-mike-burry-and-told-him-that/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) ## More by Michael Lewis > [“Crucial decisions are made, today as thousands of years ago, in terms of the intuitive guesses and preferences of a few men in positions…](https://sms4smile.com/quotes/michael-lewis/crucial-decisions-are-made-today-as-thousands-of-years-ago-in-terms/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [“You saw someone who reminded you of you, and then you looked for the reasons why you liked him. The”](https://sms4smile.com/quotes/michael-lewis/you-saw-someone-who-reminded-you-of-you-and-then-you-looked-for-the/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [“At other places management says, ‘Well, gee, fellas, do we really want to bet the ranch on this deal?’ Lewie was not only willing…](https://sms4smile.com/quotes/michael-lewis/at-other-places-management-says-well-gee-fellas-do-we-really-want-to/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [“BILLY WOULD SAY later that his wife left him because she was unnerved by his intensity—that she could even see it in his hands…](https://sms4smile.com/quotes/michael-lewis/billy-would-say-later-that-his-wife-left-him-because-she-was-unnerved/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [“The great thing about baseball players, from the point of view of personal hygiene, is how seldom they break a sweat.”](https://sms4smile.com/quotes/michael-lewis/the-great-thing-about-baseball-players-from-the-point-of-view-of/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [There was but one question he left unasked, and it vibrated between his lines: if gross miscalculations of a person's value could occur on…](https://sms4smile.com/quotes/michael-lewis/there-was-but-one-question-he-left-unasked-and-it-vibrated-between/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [“The author refers to a player's affected nonchalance and comments he is, "too young to realize you are what you pretend to be.”](https://sms4smile.com/quotes/michael-lewis/the-author-refers-to-a-player-s-affected-nonchalance-and-comments-he/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [A banking system is an act of faith: it survives only for as long as people believe it will.](https://sms4smile.com/quotes/michael-lewis/a-banking-system-is-an-act-of-faith-it-survives-only-for-as-long-as/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [Some coaches believed they could judge a player's performance simply by watching it. In this they were deeply mistaken. The naked eye was an…](https://sms4smile.com/quotes/michael-lewis/some-coaches-believed-they-could-judge-a-player-s-performance-simply/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [“No longer were the prices of ordinary mortgage bonds allowed to roam inefficiently, for they were now linked to the CMO market, in much…](https://sms4smile.com/quotes/michael-lewis/no-longer-were-the-prices-of-ordinary-mortgage-bonds-allowed-to-roam/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [“The difference between Strauss and Ranieri?” says one trader still at Salomon. “That’s easy. Strauss wouldn’t stoop to use the men’s room on the…](https://sms4smile.com/quotes/michael-lewis/the-difference-between-strauss-and-ranieri-says-one-trader-still-at/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [“The only inexplicable aspect of the process was that economic theory (which is, after all, what economics students were supposed to know) served almost…](https://sms4smile.com/quotes/michael-lewis/the-only-inexplicable-aspect-of-the-process-was-that-economic-theory/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [“It's not easy to stand apart from mass hysteria - to believe that most of what's in the financial news is wrong, to believe…](https://sms4smile.com/quotes/michael-lewis/it-s-not-easy-to-stand-apart-from-mass-hysteria-to-believe-that-most/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [“Dont worry about where i am , i'll let you know when i get there .”](https://sms4smile.com/quotes/michael-lewis/dont-worry-about-where-i-am-i-ll-let-you-know-when-i-get-there/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [“Someone out there was using the fact that stock market orders arrived at different times at different exchanges to front-run orders from one market…](https://sms4smile.com/quotes/michael-lewis/someone-out-there-was-using-the-fact-that-stock-market-orders-arrived/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) [Explore all 398 Michael Lewis quotes ](https://sms4smile.com/quotes/author/michael-lewis/) ## More Ball player quotes > [Thinking about the things that happened, I don't know any other ball player would could have done what he (Jackie Robinson) did. To be…](https://sms4smile.com/quotes/pee-wee-reese/thinking-about-the-things-that-happened-i-don-t-know-any-other-ball/) [Pee Wee Reese](https://sms4smile.com/quotes/author/pee-wee-reese/) > [There is no doubt in my mind and I know in my time, there will be a Canadian basketball player playing for Toronto Raptors, 100%](https://sms4smile.com/quotes/masai-ujiri/there-is-no-doubt-in-my-mind-and-i-know-in-my-time-there-will-be-a/) [Masai Ujiri](https://sms4smile.com/quotes/author/masai-ujiri/) > [I have friends in other industries but if I am training for a wrestling match, I would turn to the best wrestler to train,…](https://sms4smile.com/quotes/austin-aries/i-have-friends-in-other-industries-but-if-i-am-training-for-a/) [Austin Aries](https://sms4smile.com/quotes/author/austin-aries/) > [And I want to do it the right way, like everybody else, not just a famous figurehead that gets a job because he is…](https://sms4smile.com/quotes/shaquille-o-neal/and-i-want-to-do-it-the-right-way-like-everybody-else-not-just-a/) [Shaquille O'Neal](https://sms4smile.com/quotes/author/shaquille-o-neal/) > [I competed every day as a professional football player... You've got to like competing. That's how your team gets better, when you have competition…](https://sms4smile.com/quotes/herm-edwards/i-competed-every-day-as-a-professional-football-player-you-ve-got-to/) [Herm Edwards](https://sms4smile.com/quotes/author/herm-edwards/) > [“I can’t wait to knock you up and have a whole team of little baseball players around this place!”](https://sms4smile.com/quotes/j-sterling/i-can-t-wait-to-knock-you-up-and-have-a-whole-team-of-little-baseball/) [J. Sterling](https://sms4smile.com/quotes/author/j-sterling/) > [MOST AMAZING FOOTBALL PLAYER IN THE ENTIRE WORLD && IN REAL MADRID](https://sms4smile.com/quotes/anonymous/most-amazing-football-player-in-the-entire-world-in-real-madrid/) [Anonymous](https://sms4smile.com/quotes/author/anonymous/) > [My older brothers were both basketball players so I just grew up around the gym.](https://sms4smile.com/quotes/brook-lopez/my-older-brothers-were-both-basketball-players-so-i-just-grew-up/) [Brook Lopez](https://sms4smile.com/quotes/author/brook-lopez/) > [I'm a basketball player, so I want to do whatever I've got to do to be on the floor and I'm prepared for that.](https://sms4smile.com/quotes/tyrese-haliburton/i-m-a-basketball-player-so-i-want-to-do-whatever-i-ve-got-to-do-to-be/) [Tyrese Haliburton](https://sms4smile.com/quotes/author/tyrese-haliburton/) > [“Seeing yourself in print is such an amazing concept: you can get so much attention without having to actually show up somewhere. While others…](https://sms4smile.com/quotes/anonymous/seeing-yourself-in-print-is-such-an-amazing-concept-you-can-get-so/) [Anonymous](https://sms4smile.com/quotes/author/anonymous/) > [People say baseball players should go out and have fun. No way. To me, baseball is pressure, I always feel it. This is work.…](https://sms4smile.com/quotes/dennis-eckersley/people-say-baseball-players-should-go-out-and-have-fun-no-way-to-me/) [Dennis Eckersley](https://sms4smile.com/quotes/author/dennis-eckersley/) > [Canada is a country whose main exports are hockey players and cold fronts. Our main imports are baseball players and acid rain.](https://sms4smile.com/quotes/pierre-trudeau/canada-is-a-country-whose-main-exports-are-hockey-players-and-cold/) [Pierre Trudeau](https://sms4smile.com/quotes/author/pierre-trudeau/) > [“The great thing about baseball players, from the point of view of personal hygiene, is how seldom they break a sweat.”](https://sms4smile.com/quotes/michael-lewis/the-great-thing-about-baseball-players-from-the-point-of-view-of/) [Michael Lewis](https://sms4smile.com/quotes/author/michael-lewis/) > [A lot of scouts and people are enamored with athleticism and youth. So they take that any day over mature, high-quality basketball players.](https://sms4smile.com/quotes/malcolm-brogdon/a-lot-of-scouts-and-people-are-enamored-with-athleticism-and-youth-so/) [Malcolm Brogdon](https://sms4smile.com/quotes/author/malcolm-brogdon/) > [I'm a baseball player. I've done this my whole life.](https://sms4smile.com/quotes/chris-sale/i-m-a-baseball-player-i-ve-done-this-my-whole-life/) [Chris Sale](https://sms4smile.com/quotes/author/chris-sale/) [Browse all 1,395 Ball player quotes ](https://sms4smile.com/quotes/about/ball-player/) ```json { "@context": "https://schema.org", "@graph": [ { "@type": "Quotation", "text": "“On its surface, the booming market in side bets on subprime mortgage bonds seemed to be the financial equivalent of fantasy football: a benign, if silly, facsimile of investing. Alas, there was a difference between fantasy football and fantasy finance: When a fantasy football player drafts Peyton Manning to be on his team, he doesn’t create a second Peyton Manning. When Mike Burry bought a credit default swap based on a Long Beach Savings subprime–backed bond, he enabled Goldman Sachs to create another bond identical to the original in every respect but one: There were no actual home loans or home buyers. Only the gains and losses from the side bet on the bonds were real.”", "creator": { "@type": "Person", "name": "Michael Lewis" }, "isPartOf": { "@id": "https://sms4smile.com/quotes/#website" }, "url": "https://sms4smile.com/quotes/michael-lewis/on-its-surface-the-booming-market-in-side-bets-on-subprime-mortgage/", "about": { "@type": "Thing", "name": "Ball player" }, "@id": "https://sms4smile.com/quotes/michael-lewis/on-its-surface-the-booming-market-in-side-bets-on-subprime-mortgage/#quotation", "image": { "@type": "ImageObject", "@id": "https://sms4smile.com/quotes/i/b3a/michael-lewis-705_ball-player_on-its-surface-the-booming-market-in-sid_685448.png", "contentUrl": "https://sms4smile.com/quotes/i/b3a/michael-lewis-705_ball-player_on-its-surface-the-booming-market-in-sid_685448.png", "url": "https://sms4smile.com/quotes/i/b3a/michael-lewis-705_ball-player_on-its-surface-the-booming-market-in-sid_685448.png", "width": 1080, "height": 1080, "caption": "“On its surface, the booming market in side bets on subprime mortgage bonds seemed to be the financial…” — Michael Lewis", "creditText": "SMS4Smile Quotes", "creator": { "@id": "https://sms4smile.com/quotes/#organization" } } }, { "@type": "BreadcrumbList", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://sms4smile.com/" }, { "@type": "ListItem", "position": 2, "name": "Quotes", "item": "https://sms4smile.com/quotes/" }, { "@type": "ListItem", "position": 3, "name": "Michael Lewis", "item": "https://sms4smile.com/quotes/author/michael-lewis/" }, { "@type": "ListItem", "position": 4, "name": "“On its surface, the booming market...", "item": "https://sms4smile.com/quotes/michael-lewis/on-its-surface-the-booming-market-in-side-bets-on-subprime-mortgage/" } ], "@id": "https://sms4smile.com/quotes/michael-lewis/on-its-surface-the-booming-market-in-side-bets-on-subprime-mortgage/#breadcrumb" }, { "@type": "WebSite", "@id": "https://sms4smile.com/quotes/#website", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "publisher": { "@id": "https://sms4smile.com/quotes/#organization" } }, { "@type": "Organization", "@id": "https://sms4smile.com/quotes/#organization", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "logo": { "@type": "ImageObject", "url": "https://sms4smile.com/quotes/wp-content/themes/sq/assets/icons/icon-512.png", "width": 512, "height": 512 } } ] } ```