Ses 1: Introduction and Course Overview

[@Skyraps]

Watching 2024, I want to cry as I’m looking down the playlist. How blessed to have this. Thank you.

[@aN0nyMas]

just starting out. how is review of this course? and do you know where finance 2 is?

[@Cheesecake99YearsAgo]

Where is finance 2? Any idea?

[@urveabak2025]

What are you doing now?

[@Skyraps]

@@urveabak2025 studying for my sie exam

[@okaytokay]

I kinda regret not taking any finance courses during my uni but it's a blessing to have these high quality lectures for free.

[@rishi2364]

Absolutely, this is what the internet was supposed to be

[@TheViettan28]

I hope Tiktok does more of these for the kids.

[@WituVerdadero]

​@@rishi2364 FAX

[@DefenderMode]

Shall we study this course together? So we can discuss with each other?

[@muditchaturvedi5276]

@@TheViettan28 Forget TikTok it mainly focuses on short learning styles which isn't durable, YT and Coursera or some university websites does a great job at it !

[@anshika7758]

Below are the timestamps: Ses 1: Introduction and Course Overview Introduction to Finance Theory 00:00 Discovering the Excitement of Finance 02:33 Key Components of the Course 04:39 Six Basic Principles of Finance 06:44 Understanding Finance: Mathematics Plus Money 08:49 James Simons: From Mathematics Professor to Hedge Fund Success 11:25 Warren Buffett: The Simplicity of Wealth 14:30 Successful Business Leaders and Finance 17:39 The Fundamental Challenges of Finance 20:51 Price Discovery Mechanism in Financial Markets 23:33 Live Auction Experiment 26:30 Competitive Bidding 28:47 Value Determination Without Information 30:22 The Challenge of Valuation 32:39 Comprehensive Scope of Finance 35:23 Accounting as the Basis of Financial Analysis 38:07 Framework for Corporate Financial Decisions 41:15 Applying Financial Concepts to Personal Management 44:18 Challenges of Time and Risk in Finance 47:04 Six Fundamental Principles of Finance 50:15 Course Overview and Structure 53:28 Importance of Active Participation in Learning Finance 56:39 Exam Structure and Problem Sets 59:31 The Practical Aspect of Finance 1:02:16 Tips for Maximizing Learning 1:04:52

[@Billionairebabi]

W

[@2011Cape]

These are way off, no? 🫤

[@MrSupernova111]

Wow, I'm half way through my junior year and I have NEVER had a professor so passionate, articulate, and outright challenge his students to grade him. I think I will listen to his lectures through the remainder of my time pursuing an undergraduate degree in finance. Outstanding job!

[@thesaltyfrog7683]

MrSupernova111 great professor indeed

[@MrSupernova111]

Yes he is. Recently, I have been listening to lectures from Aswath Damodaran from NYU. The guys is brilliant and uses minimal PP presentations or spreadsheets to get his point across. I highly recommend him as well.

[@vaibhav.mishra_]

@@MrSupernova111 I have just started studying Finance, can you share the link of lecture you mentioned, as well as any other online resources. Thank you very much for help!

[@akshitvashishth5481]

@@vaibhav.mishra_ kzbin.info/door/LvnJL8htRR1T9cbSccaoVw

[@Bishop11111]

How did it all go?

[@drsemihkumluk]

Watched the whole semester and passed my PhD Proficiency exam. Thank you professor!

[@simonbooher9465]

How is everything 3 years later?

[@clarinetowl7554]

Semih we need an update!

[@turboleggy]

Yes 🎉

[@WituVerdadero]

Fr

[@aN0nyMas]

@@simonbooher9465 bruh just have an interview on the news, so it's going good I suppose.

[@dineshthogulua6112]

I came here to review the course after finishing all 20 lectures. I give 5/5. If you are wondering, let me tell you that it is indeed incredible value for you time if you have no introduction to finance theory. A million thanks to MIT and Professor Lo.

[@foobarmaximus3506]

Cool. Next semester, you can learn to build a toilet so you don't have to shit in your yard! Way to go, bro.

[@DipayanPyne94]

​@@foobarmaximus3506 Really ? REALLY ?? Were you drunk when while writing that s..t ?? 🤦🏽‍♂️

[@aN0nyMas]

thanks bro. I've just started this. by the way would you know where the second series finance 2 is?

[@Eganaa1]

This Professor is just outstanding, my god. I have never thought that finance lecture could be so passionate. Thank you very much for uploading such a useful video.

[@khuongho4144]

Eganaa1 I know right :)

[@samou3i15]

u encourage me to complete this course ...

[@VicTor-mk2eb]

This is mit professor , Not that agogagogo professor

[@Wayfarer17683]

Agree this guy is amazing

[@9648216]

Absolutely!!!

[@sunriseeternity300]

Thank you MIT for blessing us out here around the world. Knowledge is powerful.

[@normanjtongmd]

Professor Lo is fantastic in his ability to present the complex material painlessly! Not only clear in his communication, but also with a sprinkling of humor.

[@HowToArtillery]

a smart person can understand and talk about complex concepts but a brilliant person can dumb them down

[@spitimouvids6427]

2008... What a wild time to be teaching this

[@suiwing422]

hahahaha

[@MatyGti12]

2020... What a wild time to be watching this

[@codesniffer588]

@@MatyGti12 True

[@spitimouvids6427]

Matias Bravo you got me there

[@ramlalravindra1289]

@@MatyGti12 your comment is ao underrated

[@TheRandomVideoFactory]

2024 viewers where you at? 😅

[@aN0nyMas]

present! did you manage to get through it? any reviews?

[@alfonsoramirezherrera4553]

Ive watched this finance lecture like 3 times, not because i dont undertant it, just because i love the way this man teaches. This might be thes best finance course on entire internet.

[@spockchan2950]

Here ❤

[@damionfeistel6284]

Reporting in! Time to start learning about Finance :)

[@OkSid300]

Here. I hope it will help me to get rich.

[@wentaoqiu4072]

Never have I thought a finance lecture can be this good, the auction demo is truly inspiring.

[@Omikoshi78]

As someone in a professional field for 20years; it’s been a long time since a lecture got me excited. I’m going to compete his online courses.

[@johnc2421]

Andrew Lo is such a great teacher! Learning this at my 30s, only wish I had the opportunity to have this kind of lesson in my college years. And finance was never a true interest to me until now.

[@theburden9920]

it is never too late

[@philipkim9779]

Professor Andrew Lo is so passionate and articulate. I really enjoyed watching this lecture. Thank you so much for sharing.

[@mitocw]

Glad you enjoyed it!

[@sagarpandurangi4820]

I'm from India and I can't thank MIT & Prof Andrew Lo enough. This is such an amazing course. Thanks MiT OCW and Prof Andrew.

[@playme8150]

ME TOO BROTHER.

[@adwaitjog4571]

@@playme8150 Me to brother

[@111Econ]

Very interesting. I graduated with a technical engineering degree and sometime I wished I just studied accounting or finance. The closer you are to money the more money you’ll make? Other majors such as engineering etc is just a tool/vehicle for the wider business to make money. Now I am contemplating an MBA at tier 1 B-school.

[@StubProductions]

I hope you realize that engineers have founded some of the most successful companies in history. Creativity solves a problem and people with problems will pay handsomely for their problems to be solved. You sound like you chased money and not your passion…

[@anyu8109]

Starting the course in 2020. this course is amazing! Thanks Prof. Andrew Lo.

[@Cagmito125sportsbikespares]

Lucky. How did you do?

[@sudhirpatil3434]

Just watch sirs body language- so much interested in teaching- he perhaps is 1 of best prof in finance fields today! Hats off-

[@sasusan1]

What an age we live in! This is simply super. To have access to such valuable instruction and instructors is the height of generosity. I value these MIT courses immensely and would gladly pay for them. Thank you.

[@akshajnandigam7890]

The passion in this lecture is unbelievable i feel like he really has a unique perspective on teaching and cant wait to finish this playlist to fully understand his perspective

[@imafidonimonitie845]

How can someone be so clear, simple, and interesting. You sir are a blessing!

[@karinaycb4293]

Really love how he is so passionate about finance! Passionate people are always a blast at teaching

[@yawzerdoink-a-sore-as]

I have been running away from finance for the sole reason of the phobia of the mathematics. That fear is the biggest hurdle for students to get over. Finance is simple once we lose the phobia of the numbers and math. I embraced finance, via crypto, and I feel like a fish in water. This is where I belong. No fear. I embrace it all. Amazing professor. You guys kick Harvard’s butt 😍

[@yawzerdoink-a-sore-as]

Break at 42:00

[@samueldayo9261]

This is where I belong ❤

[@cynthia-jo1zz]

Same same here!!!!

[@MrSyCoe]

This guy is an AWESOME professor.

[@siphesihlevilakazi-jl1nq]

I'm Siphesihle Vilakazi I live in South Africa I wanted to further my studies in USA

[@FadeLord]

Going back to finish my accounting degree after 2 years off. I have about 4 semesters worth of credits until the undergrad is complete. This is an amazing help so far and I’ve only watched the first one. Thank you guys so much fr no cap. 🔥💪🏽 wish me luck woadies.

[@charlottefitzgerald8396]

2022 and I'm finding this relevant and captivating! Great lecturer 👍

[@md.kamrulhasan4403]

This type of initiative by MIT professor of finance is a great job. Specially Professor Andrew Lo delivers finance theory so smoothly that deserves appreciation. I expect new lectures on portfolio management, stock market and behavioral finance during this corona-virus period. Thank you KZbin.

[@Needassistance]

This is professor is great. A man who loves the subject he teaches

[@themusicfactory263]

We're here in December, 2024. This is the most beautiful introduction to finance lecture I've ever watched!

[@ronaldmoirangcha638]

Thank you prof.. And MIT for making such valuable learning resource available. From Manipur, India.

[@salaryman540]

Being able to learn such an awesome lecture on finance from nowhere in Japan. What a great age we live in.

[@HowToArtillery]

I call it KZbin University ;)

[@Discovery_and_Change]

What part of Japan?

[@veronaxu]

Honestly I noticed this course 4 years ago but never got the time to watch. Now that I got a Bachelor's degree in finance I'm back here and things make much more sense now.

[@avgustinlazo4354]

I appreciate his respect for his students. He is treating them and talking to them like adults.

[@0xcc32sys_err4]

I mean they are adults lol

[@sergiodelavega5412]

They are 22-25 they are adults. Nobody thinks of them as kids

[@sergiodelavega5412]

@@Cagmito125sportsbikespares it's grad school

[@MrKnockout_]

Lol welcome to college. Sounds like you're in 10th grade

[@Abkuyper]

@@sergiodelavega5412 some professors kinda pretend they are respecting but really not.

[@jalapenohiway]

I really love this gentleman's enthusiasm. Great content so far. I'm very excited about this course!

[@yangyu4489]

gentlemans enthusiasm is a phenomenal pairing of words. thats a band name right there

[@tomchen3356]

Thank you based MIT, I'm a slave programmer in the Valley and these lectures are both eye-opening and immediately applicable to a huge part of my life.

[@yangyu4489]

i was also a slave programmer till i realized i'll never learn the tools to financially liberate myself by googling bugs and writing code.. gotta move into the business/investment quadrant

[@hujake5406]

@@yangyu4489 are you guys rich yet

[@yangyu4489]

​@@hujake5406 ya in 8 months ive become a billionaire

[@hujake5406]

@@yangyu4489 it only took me a day to become millionaire.

[@dragz888]

@@hujake5406 i find both of those hard to believe lol

[@arrowb3408]

Prof Lo' s teaching method in business is well prepared in full scope from history to the modern practical financial industry. Plus spice up some little small business game. That's so fascinating to listen his well round teaching.......STF......

[@user-wt2ky2uq4k]

the information provided above by Professor Andrew is priceless! I'm 22 and I have always been wondering what would I like to do in my future, what is the thing that I love. This year I have started to invest in stocks and trading currencies and I fell in love with this discipline. Big thanks from Switzerland.

[@austineojor]

Can we talk on WhatsApp, i am new to investing too And we can look at some stocks together

[@polyanitza3639]

So glad I found this comment, I started an engineering degree, hated it, didn't know what I wanted to do. Got into forex, found out it was hard, very. Got the hang of it, fell in love with it. Became profitable after a long time suffering, dropped out of uni, don't regret anything. Decided to educate myself in finance and just understand how the financials work. So yeah, trading brought me here, just like it brought you. Best of luck mate!

[@haipingwang7075]

Very amazed by the presentation of an introduction, I fell in love with this class already. Thanks for uploading it.

[@travellerboy6999]

The way he teaches the concepts is really extraordinary...and i found this video of him very .... valuable for me Thankyou professor

[@bautistabaiocchi-lora1339]

back again to say this course is a public good, thank you andrew

[@stormyS2011]

This is a wonderful series of lectures! Thank you Andrew Lo and MIT Open Courseware for making this publicly available. It expanded my understanding of finance beyond what I expected before going through these lectures. Andrew Lo has a talent for explaining things multiplied by his deep knowledge and understanding of the topic!

[@ksacredsprings2897]

I'm starting to love finance now because of this Professor. Love it!

[@kodymccollum8235]

To take bathtub analogy one step further - water level is stock price, water flowing in is revenue, but also the drain (water removed from tub) is costs.

[@muira58]

Thats how I envisioned it, or like a river with a flow and a level

[@Onomandah]

This was a great watch! Such an exciting and fun lecture! Looking forward to finishing the rest of the lectures!

[@sudhirpatil3434]

I haven't listened to better information put up in most precise manner than this prof- he is a jem of a person!

[@bart9522]

48:54 "interest rates are non-negative" that did not age well

[@lassorb4752]

🙏🏼😂

[@danielarce3256]

Oil😂

[@lakshmanbodepudi]

I dont think that i would ever forget that example of ipod auction and explaining value from that

[@CNASIR-tt5oc]

I’m in love 😍 with this teacher and this class. I’m Definitely finishing this course and learning about finance

[@yimingxu7446]

OMG THIS GUY IS AMAZING!! Finally understand why people would kill to get in a top university

[@IrfanKhan-yg8zu]

really impressed, professor, i am watching after completing my PhD, from the very beginning, and behaving like i am new in finance lol

[@ares2925]

For someone late to learning subjects to help with securing safety for my future. Having this, will REALLY help gain some knowledge and hopefully be able to apply it. Massive respect to the OpenCourseWare team.

[@skbskb7596]

Excellent teaching, I can not afford MIT tuition (at this age going back to school is also tough), and it's a blessing

[@giahuyang594]

This video in the year i was born. I has learnt a lot of things since i watched this. Thanks to professor Andrew Lo and MIT

[@TheChartFather]

Great lecture. I miss being in an environment where those involved are motivated and engaged voluntarily. Hard to find in the real world.

[@ВПоискахПравды-ь6э]

Yeah man. I thought I'm going crazy, but then I accepted it. Just trying to stay cool ))

[@cosmogamer9914]

i've watched about half of these lectures and this professor is incredible, particularly relative to the professors i just had in my recently completed Master of Finance program. i'd have straight A+ if i could have this quality of teaching for my classes

[@mexicanboss5823]

I have NO idea how I ended up on this video but it had me very entertained. Great teacher!

[@valoxsen6003]

Wow... fall 2008 I was starting my major in journalism. Now here I am, 16 years later, wanting to make a career change into finance 🥺It's somehow fitting that I found this lecture series that was recorded when I myself was in college!

[@hassan6692]

your lectures have reached East-Africa(Somalia)...thank you for uploading this fantastic lecture with such an impressive professor

[@FrenchMontreville]

This is a beautiful open statement and I'm hooked with just your introduction...

[@jeangotier4246]

Beautiful teaching professor. Thanks MIT

[@bookgains]

For a curious person, this channel is a gold.

[@diegoandres9065]

August 2023. Learning business english and finance at the same time with MIT, thank you professor for this masterpiece.

[@ramonv-h5719]

Wow! I wish I was aware of this MIT course availability before I found this in year 2021. Better late than never.

[@derek30453]

Wonder who the 50 idiots who thumbed down are. Amazing lecturer, best I’ve ever seen. Especially for a relatively dull topic like finance.

[@YasholekhaRajasekhar]

Starting in dec 2024, hope i finish it this month. Like whenever you see this comment so that i keep up my consistency ;)

[@olgapashkova6791]

What an absolutely wonderful set of lectures!

[@randal3122]

ya if i would have has this guy as a professor in any of my classes when i was in college, he probably would have been my favorite teacher

[@rosenskietolentino8420]

Being someone that has not experienced college, This kind of teaching really make me wonder the things I missed out on

[@internz4259]

It's never to late

[@rickhammond2473]

You did not miss anything the smarter people become the dumber they become.I have no colledge and making massive coin on Tesla long since 2019 and CRGE in which I got in under a 1.00.The people like Buffet have no common sense.I live in a wealthy are and the people are stupid do not know how to drive the kids are screwed up it is ashame what happen to the society.Uneducated are dumb and the educated are really dumb.

[@samueldayo9261]

So lovely, i was so happy watching him teach through the video and full course. A good vibe. I'm here 2023,

[@robertovalle655]

who else is binge watching this in 2020? LOL

[@mikspanks]

I am watching in 2021

[@Linguages2024]

@@mikspanks Me too

[@thisisTrev]

Lol yep

[@anonym4707]

i liked, then i realised its 2021

[@justwatchinvideos305]

Let’s go baby!

[@jamesmatthew1903]

I didn't go to MIT but he's right when he says it will take years to appreciate the knowledge you gain.

[@josecurto6352]

Thanks MIT. Following from Sweden.

[@flaiirenn]

what a blessing that this content is free. i will definitely use this.

[@shahoriyerhossain5867]

Thank u so much MIT for uploading outstanding lecture.

[@dhruvjoshi4524]

Loved how the camera captures the water bottle when the professor says: "Water is valuable" 24:45

[@BuPiToysReview]

Congratulations nice video, creativity is extremely special

[@tashtant]

How’s the toy review business going my friend. It’s interesting to see old comments from popular channels like yours, I wonder what you used to upload at the time.

[@raj8294]

Wish I watched this during undergrad. Brilliant professor

[@jasonbourne3569]

This is my girl friend's brother's laptop.God save me from poverty.

[@wcatcher5622]

Better start learning and working and stop praying

[@honest_bishop5905]

@@wcatcher5622 What do you do, you condescending little shit

[@jacquir8331]

@@honest_bishop5905 honey it's called life. Stroll off of MIT campus a few blocks away into low income housing projects. Take a look around at the poverty, the ignorance, the crime, drugs, and the gangs.

[@kingarth0r]

1:04:35 excuse me!? Gunnar Carlson, Henry Adams, and even me all do applied algebraic topology and it has applications to computer software and disease diagnosing

[@akashthomas3520]

*Course Materials* ocw.mit.edu/courses/15-401-finance-theory-i-fall-2008/pages/readings/

[@Clippingithub]

fucking legend 🙏

[@bautistabaiocchi-lora1339]

years later and i am back again to see this beauty of a class.

[@ashanair440]

Just one word for this lecture: Wow! I'm gonna complete the course..:)

[@dany2685]

Hello! The reason I am coming to watch your videos is I want to do some automation solving problems and creating a site that will make the financial more easy to use to the normal humans. I do have a bachelor degree of finance and economic informatics (a combination between computer programming and finance) but it is always good to see different points of view and to have a deep dive in finance.

[@rajeshkumarsahu3218]

Thank you so much guys for imparting free knowledge .

[@mincoffee1995]

his accent is so comfortable and easy to understand.

[@rachittripathi9424]

+MIT OpenCourseWare can you please post the problem banks of this course

[@goldjoinery]

1:04:32 Gunnar Carlsson, a leading algebraic topologist, is founder of Ayasdi, a data analytics firm that uses topological techniques applied to big datasets and machine learning models.

[@aN0nyMas]

wow

[@alharosh]

Honest i never like finance but now i really like it, and I am planing to go through all the course. Thanks

[@DewTime]

A Alharosh how many lectures did you watch

[@ChancetheCanine]

This guy was teaching value before QE and stock buy backs!!!

[@bryanmarin955]

Has anyone been able to find the reading packets online? I can't seem to find them anywhere whatsoever.

[@mitocw]

+Bryan Marin There are lecture slides available for the course on MIT OpenCourseWare in the "Video Lectures and Slides" section. See ocw.mit.edu/15-401F08 for details. Hopefully these will help you.

[@adhura_sahitya]

Tq MIT for enriching us 🌼🌼 I m from political science background but this year I m taking admission in MBA in a college in India.

[@adhura_sahitya]

It's 21 May 2020

[@hanzlee5173]

best finance course I’ve found on KZbin!

[@duchuymai4743]

Thank you very much ! MIT

[@sitrakaforler8696]

Wow that's a AAA course ! Really engaging. Clear and purposeful !

[@omardkair4843]

following from Morocco , Agadir , :)

[@mariovilla2294]

Thanks a bunch for sharing! It is much appreciated, even more for international audiences! Looking forward to seeing more videos like this one to come. Regards from Argentina

[@tommylee3740]

Who is watching this is 2021? It hit me when the bidding item was an iPod nano 😂😂😂. Use to cost $149!

[@srinivasansai2698]

Haha

[@Melissameii]

Only when I watched this video did I realise my professors aren’t passionate at all in their teaching! This made me want to absorb the information he was giving us vs in my lectures it felt like a chore.

[@Melissameii]

To be fair I had one lecturer out of 4 that was passionate

[@srinivasansai2698]

Perfect

[@Amansingh-vg4nn]

This prof is lit man....I like his grading idea though 😀

[@patrickblair2818]

It's a double entendre because the apple Ipod sells because of Apples brand presence.