Summary: Reminiscences of a Stock Operator: Step into the World of a Trading Legend by Edwin Lefèvre

• If you are looking for a book that will teach you everything you need to know about the stock market, you might be disappointed by Reminiscences of a Stock Operator. But if you are looking for a book that will inspire you, entertain you, and challenge you to think deeper and smarter about the market, you will find it in this timeless masterpiece.
• Don’t miss this opportunity to learn from one of the greatest traders of all time. Read Reminiscences of a Stock Operator today and discover the secrets of success and the lessons of failure in the world of speculation.

Reminiscences of a Stock Operator (1923) looks at the life and trading strategies of Jesse Livermore, a professional stock and commodities trader, through the pseudonymous character of Larry Livingston. It explores the psychological challenges and strategic complexities of trading, offering timeless insights into market behavior and the discipline required for success in the financial world.

Recommendation

Edwin Lefèvre published this classic in 1923. His subject is Jesse Livermore, an infamous speculator and the world’s first documented successful day trader. Lefèvre thinly disguises Livermore, assigning him the fictional name Larry Livingston. First published as a series of Saturday Evening Post articles, this book explores greed, fear, envy and the relentless pursuit of fame and fortune, all as relevant today as in 1923 – one reason that this remains required reading for investors. The writing style is quaintly dated and Runyon-esque. Lefèvre’s use of old market jargon (“plungers,” “bucket shops,” “bear raids” and stock “operators” instead of brokers) reminds readers that this is a journalistic, a novelistic and a fiscal period piece. The illustrations by M.L. Blumenthal evoke its original publication date. Interestingly, market bubbles, whether in high-tech, railroads or real estate, remain basically as emotional and nonrational as they were in the early 1920s, so the lessons here remain meaningful. Speaking from that more innocent time, Lefèvre provides lasting market insights, including Livermore’s investing secrets. He distills the eternal truth that markets only go up or down, and that investors run on fear and greed. We strongly suggests this classic to serious investors and financial reporters. As you read it, you will hear the voice of its time and its lessons for today.

Take-Aways

• When investors sell a stock short, they hope to buy it back for less at a profit.
• The market drops when there are too many sellers, when the selling stops or when it is poised for a recovery.
• “Larry Livingston” (the fictitious name for Jesse Livermore) excelled at “mental arithmetic.”
• When Livingston was 15 years old, he began trading stocks for a living.
• Livingston made $1,000, the equivalent of one year’s income, at only 15.
• Livingston had a distinct “ticker sense.” He could recall stock trades 20 years later.
• When Livingston was accumulating a stock position, he issued buy and sell orders to test the market’s strength and its resiliency in a particular direction.
• Amateurs lose money in stocks due to bad judgment, bad timing, having the wrong temperament, and not knowing what moves the market.
• To be a successful speculator, trust your judgment, be patient, be confident, invest in trends, and have a formal buy and sell discipline.
• If you are bullish and buying stock, each new buy should be higher than the last.

Introduction: Unlock the secrets of successful stock trading, and transform your investing approach

Have you ever wondered what goes through the mind of a stock operator during the tumultuous ups and downs of the market?

Edwin Lefèvre’s Reminiscences of a Stock Operator provides a captivating exploration of this world, presenting the highs and lows of trading through the eyes of Larry Livingston – a pseudonymous character widely believed to be based on the famous trader Jesse Livermore. The timeless classic uncovers the strategies, psychological battles, and intuitive decisions shaping a trader’s journey, offering invaluable insights for both novices and seasoned market participants.

In this summary, you’ll get familiar with the volatile world of stock trading. You’ll also gain access to some hard-earned wisdom and personal reflections that highlight the importance of self-reliance, the perils of emotional trading, and the indispensable value of learning from both triumphs and failures.

The early years and bucket shops

From a young age, Larry Livingston exhibited an innate curiosity and sharp intuition for the stock market, demonstrating a keen understanding of its ebbs and flows.

It all began in the bustling, chaotic environment of bucket shops – establishments that accepted small bets on stock price movements. In these vibrant hubs of speculative activity, Larry honed his skills, quickly grasping the nuances of market behavior and the importance of noticing trends.

Larry’s approach to trading was methodical and observant, allowing him to capitalize on the patterns he detected in stock price movements. He developed a knack for predicting market trends – a skill that would become the cornerstone of his trading philosophy.

But this early success was not without its pitfalls. Larry’s confidence in his abilities grew, at times teetering on the brink of overconfidence, which led to rash decisions. The subsequent losses taught him valuable lessons about the dangers of hubris in the trading world.

As Larry’s proficiency and ambition outgrew the confines of the bucket shops, he transitioned to legitimate brokerage firms. This shift marked a significant turning point, bringing about new challenges and complexities. The stakes were higher, and the room for error was significantly reduced. Trading in this more formalized environment required a more sophisticated understanding of the market and a refined approach to strategy.

Larry’s early experiences in the bucket shops, while foundational, had instilled habits that needed recalibration. The strategies that served him well in the smaller, more predictable arena of the bucket shops were not directly translatable to the broader, more volatile market. It became clear that a new level of discipline and strategic foresight was necessary.

At the same time, Larry carried with him the invaluable lessons learned from his early trading days – the importance of trend recognition, the dangers of overconfidence, and the relentless pursuit of market mastery. With a renewed sense of determination and a clearer understanding of the market’s intricacies, Larry was primed to delve deeper into the art and science of trading.

He was ready to take the reins in the world of professional brokerage.

Developing a trading strategy in the New York Stock Exchange

With his transition from the bucket shops to the New York Stock Exchange (NYSE), Larry Livingston soon realized that a significant evolution in his trading strategy was necessary for success. The dynamics of the market were more intricate, demanding a deeper understanding and a more nuanced approach.

He began to meticulously scrutinize general market conditions. He found that he needed to focus on anticipating major market movements rather than reacting to minor fluctuations. This shift marked a transition to a more contemplative and deliberate trading style. Larry learned the value of patience, recognizing the critical nature of biding his time and holding steadfast to his convictions once a position was taken. He cultivated the ability to resist the allure of impulsive trading, understanding that true success required a disciplined adherence to thoughtful strategies.

Larry’s intuitive grasp of the market began to pay off, as he learned to trust his innate hunches about when to reverse positions. One of the defining moments came with the 1906 San Francisco earthquake, where he followed his instinct to short sell Union Pacific despite warnings from friends and fellow professionals. His decision proved to be immensely profitable, netting him $250,000. This experience underscored the value of his intuition, solidifying his trust in his own judgment.

However, this lesson didn’t come easy. He later gave in to a friend’s forceful warning, leading him to abandon his bullish position on Union Pacific that would have been even more profitable. This incident served as a stark lesson on the importance of conviction – and the perils of allowing external opinions to overshadow one’s own analysis.

Determined to hone his skills, Larry knew he needed to develop his own system of analysis to reduce his dependence on tips from others. This introspection and commitment to self-reliance bolstered his confidence in his own judgment, allowing him to navigate the market with greater assurance.

The role of insiders and self-reliance

In the period after his brush with Union Pacific, Larry underwent a transformation from a reactive trader to one who was proactive, patient, and deeply in tune with his own instincts. With his hard-earned lessons in hand, Larry felt equipped to explore the role of market insiders and further probe the importance of self-reliance in the unforgiving realm of stock trading.

In 1906, his foresight and ability to read financial conditions came to fruition when he predicted a major market break. Larry aggressively short sold stocks, reaping a substantial profit of over $1 million as the market crashed – just as he’d anticipated. This time, he stayed true to his convictions and wasn’t swayed by the empty warnings of others.

As Larry’s confidence in his own trading acumen grew, so did his successes. His ability to anticipate major market turns was once again validated in 1907 when he adeptly navigated the market, selling short ahead of another big financial panic. These consecutive triumphs underscored the efficacy of his evolved trading style, which now centered around a holistic analysis of overall market conditions rather than a reactive approach to individual stock movements.

A pivotal moment came on the climactic day of the 1907 crash. Larry found himself in a position of immense influence, realizing he had the capacity to exacerbate the market’s instability by selling aggressively. However, he chose restraint over opportunism, opting not to intensify the panic. This decision reflected a mature understanding of his role and responsibilities in the trading world, transcending the pursuit of personal gain.

These experiences changed Larry for good. He was no longer reliant on tips and external advice. He’d become a confident, independent analyst – capable of navigating any situation the trading market threw at him.

Resisting pressure and understanding market dynamics

At this stage, Larry Livingston was deep in the complexities of market dynamics. His success had hinged on luck, skill, timing, and patience. But he knew he couldn’t grow complacent. He constantly reflected on his experiences, studying market patterns and maintaining a flexible approach to adapt to the ever-changing trading landscape.

It was all about moving beyond a narrow focus on individual stocks. He knew the importance of identifying the line of least resistance in price movements, taking into account both market psychology and technical factors. He shared his insights with others, warning against the pitfalls of trading against the prevailing trend and advising traders to wait for clear signals of a reversal before making their move. Larry also highlighted the need for an open mind – even for experienced traders. Acting based on opinions rather than market facts could lead to costly mistakes.

Larry found himself in a dilemma when he agreed to trade under a major NYSE firm’s name, concealing the identities of other clients. This arrangement aimed to attribute large stock sales to Larry’s short selling, thereby protecting the interests of these concealed parties. But this led to challenges for Larry – he felt the pressure to conform to the wishes of the firm’s senior partners, even when it contradicted his own market analysis.

The situation climaxed with the Chesapeake and Atlantic railroad stock. Despite his analysis indicating a potential decline, Larry yielded to the senior partner’s advice not to short sell, based on alleged insider accumulation. The stock did decline, and Larry’s deviation from his own trading logic, influenced by a misplaced sense of loyalty, resulted in significant financial losses. This experience highlighted the perilous nature of allowing external pressures to override one’s own judgment in trading.

As Larry took years to recover from the losses incurred during the NYSE firm episode, he gained a profound understanding of the importance of separating personal emotions and allegiances from the unbiased realities of the market. He realized that the market doesn’t reward loyalty or past help, and that deviating from one’s convictions for personal reasons can lead to missed opportunities and disastrous outcomes.

These insights prepared Larry to navigate the market with a renewed sense of clarity, setting the stage for the next phase of his trading journey.

The highs and lows: Learning from successes and failures

Like with most things, stock trading is full of successes and failures. Larry Livingston learned to navigate both bull and bear markets, extracting lessons from each triumph and setback. His journey, fraught with highs and lows, underscored the indispensable role of intuition, the imperative of emotional mastery, and a nuanced understanding of brokerage influence.

During lean times, when the market offered scant opportunities, Larry championed patience and urged traders to wait for the tide to turn. He spoke of the perils of trading on credit, noting the importance of settling debts to maintain a clear, focused mindset. He identified signs of market rejuvenation, such as increased activity and rising prices, and encouraged traders to seize these moments of potential prosperity.

Time and time again, Larry’s experiences reinforced the need for unwavering confidence when making trading decisions. He acknowledged the inevitability of sudden market crashes, advocating for protective measures while cautioning against overreaction. He reminded traders of the cyclical nature of markets, advising them to ride rising trends while remaining vigilant for eventual downturns. Regular profit-taking was touted as a strategy to actualize gains, coupled with patience to optimize profit margins under favorable conditions.

Larry also warned against the false security of unsolicited advice. He emphasized the value of self-reliance and personal analysis, highlighting that price swings following tips often resulted in losses rather than gains. He implored traders to trust their own market assessments, steering clear of unwarranted advances and subsequent corrections.

Deep dives into specific stocks and sectors became a hallmark of Larry’s strategy. He placed importance on price action and trading volume, urging traders to base decisions on tangible market dynamics rather than speculative opinions. On top of that, he underscored safeguarding trading capital, and cautioned against overextending and bucking overall market trends.

Finally, Larry broached the subject of market manipulation, warning against the allure of attempting to corner the market. He depicted the challenges and inevitable reversals that follow manipulated rises. Instead, he said, traders should move with the market’s natural rhythm and trust their own analysis – even when external pressures and dissenting opinions loomed large.

After all these highs and lows, Larry’s trading career was starting to come to an end. But he still had a few last trading secrets to impart.

Final lessons in market wisdom and resilience

What does it truly take to navigate the turbulent seas of the stock market? The parting lessons of Larry Livingston’s trading journey offer a treasure trove of reflections and wisdom.

On the topic of market manipulations, Larry acknowledged the fine line between legitimate stock sales and deception. He advocated for inclusivity, emphasizing the importance of extending opportunities beyond insider circles. He also highlighted the nuanced role of floor traders – recognizing their potential to stimulate market activity, yet warning of the perils of overusing them.

Group psychology is often at play during stock trading, and Larry pointed out how even the most seasoned traders can bow to peer pressure. With that in mind, he underscored the dangers of allowing emotions to cloud judgment, and stressed the importance of promptly rectifying mistakes.

Remember his early days in the bucket shops? In his final years, Larry drew parallels to contemporary brokerage practices, exposing the ways in which brokers exploit public greed. He called for increased transparency in handling stock splits and manipulation, and he demonstrated the true impacts of bear raids and insider selling on market dynamics.

Ultimately, Larry always came back to two things: self-reliance and meticulous analysis. With a steadfast commitment to learning, adaptability, and, most importantly, an unwavering trust in your analytical abilities, you can forge your own path in the style of this trading trailblazer.

Summary

Great Operators: The Voice of 1922

Any stock market decline takes down many types of customers and turns their paper profits into real losses. Broad market declines usually start with the most popular stocks, and then move on to less known names. When strong stocks falter, weak stocks can suffer rapid freefall – leaving many small customers dazed and hoping fruitlessly that their stocks will recover.

“My own opinion is that Livingston will agree with me that stock speculation is an unbeatable game.”

When investors ask stock operators (brokers) why such breaks occur, they may have no answer at all – or they might just blame a “bear raid.” That is, the problem could reside with investors who sell stocks short hoping to make money buying them back at cheaper prices. For that to happen, short sellers hope their stocks’ prices will fall. This can drive out other speculators, especially those who bought stock on margin and only make money when prices rise. Commissioned brokers make money either way, so they are not obligated to the investing public.

“A picturesque figure, this breezy buccaneer of boodle, flamboyantly theatrical, incredible as one of those imperial buffoons of history that always puzzle us.”

Even worse, when brokers advise their customers that a bull market is over, customers usually don’t listen anyway. That only adds to the odds against stock speculators. The customers of 1923 may look a little different than investors did 15 or 20 years ago, but they have the same purpose. Most market speculators find out that a hard lesson is often the best teacher.

“Any explanation except the truth will do to account for the obvious – when the obvious happens to be that the customer is an ass.”

What if a big operator came along who could move the investment markets, a speculator so big he could be a “plunger,” conduct a bear raid or even make markets go up? In the early days, men like this were pool operators or ran stock syndicates. Today, they are rare, but that is why you should meet Lawrence Livingston: a heavy trader who had the power to move markets.

Old Masters

Livingston lived in a luxurious house with butlers and venerable artwork. Rumor had it that he went through numerous large fortunes, but this house testified to a significant current net worth. Livingston himself was tall, straight and healthy looking. He showed no sign of being nervous. He looked like a man who made his best decisions when his mind was fresh. When we met, he was not excessively cordial, nor did he show any indication of the lightning quick mind he used to make his millions.

“Brokers do not listen to abstractions. If they did some of their customers might make money.”

Livingston told me the market often “raids itself.” When individuals sell out in a horde, they invariably blame the big operators, but that is wrong. Markets drop when there are too many sellers. When the selling stops, the market is poised for a recovery. Livingston preferred to be a buyer. Everyone likes a bull market. When the market declines, the public blames Wall Street, but usually professional investors have nothing to do with it. Blame the speculators, the merchants and businessmen who want to make fast money with little effort. They fool themselves into thinking they are entitled to profit more in the markets than in their regular businesses. When they lose money, it’s their fault, not the markets’.

“If the unbeatable game of stock speculation had not been beaten by this man it at least had received a severe jolt at his hands.”

Talking about protective legislation is useless. Laws cannot protect people from their own “greed and ignorance.” The story is always the same: speculators – from famous traders to novices – come to the market filled with “greed, vanity and laziness.” They rely on tipsters or brokers. They use margin in place of intellect. When the market goes up, speculators hope it will go up more, so they never take their profits. When the market falls, they fail to act.

Trend Following

Livingston preferred to invest in larger market trends. He looked for the direction of larger swings and tried to determine how long they would last. He researched trends in trade publications. Since some sectors go down faster and further in a bear market, he picked carefully.

“The man who does big things is less afraid of being blamed than of being misunderstood.”

Livingston provided this example of his investment technique: The U.S. World Trade Corporation (USWTC) owned steamship lines, trolley systems, coffee plantations and banks. It conducted a huge export business. After WWI, its stock remained stable and continued to pay dividends. When the market declined, some stock syndicates sold their shares, pushing prices lower. A rumor started that the company would not pay its next dividend. The company’s president refuted the rumor in a newspaper interview, but the day after the interview was published, the stock price declined severely.

“Prices either were going the way I doped them out, without any help from friends or partners, or they were going the other way, and nobody could stop them out of kindness to me.”

Wall Street is always ready to “believe the worst,” but the ticker told the whole story. Within days, the firm announced that it would not pay a dividend. The company president denied that the directors had sold their stock short. He acknowledged political problems in the firm’s main market in South America. These problems forced many customers to cancel their orders, so the USWTC directors decided to conserve cash and not pay the dividend.

“I did precisely the wrong thing. The cotton showed me a loss and I kept it. The wheat showed me a profit and I sold it out. Of all the speculative blunders there are few greater than trying to average a losing game. Always sell what shows you a loss and keep what shows you a profit.”

Livingston followed this situation for three years. He shorted 10,000 shares of the stock at 110. As the bad news mounted, he continued to short until he had sold 30,000 shares. The stock fell into the 80s. As it continued to drop, the directors announced the skipped dividend. Livingston eventually covered his shorts when the stock was hovering above 60. He looked at the fundamentals affecting the business. He reached the same conclusion that the directors did, but weeks before they decided to skip a dividend. Even though the directors were wealthy bankers, they could not overcome bad economic conditions in their main market. However, Livingston had positioned himself so that he would make money no matter what they did.

“Ticker-Sense”

Livingston was very adept at buying and selling stocks at opportune times. He learned to understand “time and behavior.” He also become one of his generation’s best technical analysts and tape readers. Livingston could recall 20-year-old stock trades. His distinct “ticker-sense” made him a born stock market winner.

“Another lesson I learned early is that there is nothing new on Wall Street.”

He excelled at “mental arithmetic” and completed three years of math in one year during grammar school. At about 13, he got a job posting prices in a bucket shop (a storefront brokerage firm), forcing him to focus on how the numbers changed. From this experience, he developed a knack for predicting advances and declines in actively traded stocks, which he recorded in a small memorandum book. He learned how some stocks’ prices behaved when they went down or up a few points. He then checked his predictions against the actual tape – which provided no explanations for the price movements, but which offered thorough tallies.

“The game taught me the game.”

He was not a speculator; he anticipated “probabilities.” When Livingston was untrained and just followed tips, he lost just like any other sucker. For his first trade, he pooled resources with a young co-worker to buy $5 worth of Burlington stock. It went up and they split a profit of $3.12. He continued to buy or sell stocks based solely on his price prediction system.

“Whatever happens in the stock market today has happened before and will happen again.”

By age 15, he quit his job posting prices; he was making more money speculating. As he said, “I had been trading since my fourteenth year. I had made my first thousand dollars when I was a kid of 15, and my first ten thousand before I was 21.”

In fact, the young Livingston soon became so successful and well known that some bucket shops refused to take his money. After he earned the nickname “Kid Plunger,” he had to assume a false name to trade. To keep bucket shop operators off guard, he intentionally placed losing trades, followed by large profitable orders. He called that maneuver a “sting” against the bucket shop.

“You cannot prevent some people from guessing wrong, no matter how able or how experienced they may be, because every man has many enemies within himself as well as on the outside.”

At 22, Livingston moved to New York with, by then, $2,500 to invest. He was soon broke because his tape reading system did not work in larger stock exchange brokerage houses. He borrowed $500, revamped his system and went to St. Louis to trade in bucket shops. He quickly made $2,800 in one bucket shop before being discovered. Forced to return to New York, he resumed trading. One $2,000 short-trade in a Hoboken bucket shop netted him $5,100. It took him five years after his return to New York to make $1 million.

Why Individuals Lose Money

Trading is a tough discipline. Wall Street has been home to many great men who could not pick stocks. Jay Gould once paid $100,000 a year in commissions, but only posted a $50,000 profit trading stocks. Commodore Vanderbilt was a buy-and-hold investor. J.P. Morgan and his partners were not even interested in trading stocks. James J. Hill was “the most picturesque personality” on Wall Street, while E.H. Harriman was very adept at financial manipulations, but not stock trading. James M. Tobin, who worked for Vanderbilt, studied companies and helped the Commodore during the Harlem corner of 1864.

These great stock operators were very different from the average speculator who comes to Wall Street in search of “easy money.” When average speculators enter the market, they frequently lose money. Here are the most common mistakes nonexperts make:

• They do not have good motivation for speculating – They are looking for “something for nothing” or the excitement caused by gambling and greed.
• They have bad timing – There is a time to make money and a time to lose it. Buying a stock too soon is as bad as buying it too late.
• They do not think; they only hope – When average people buy stocks, they hope their shares will go up. The problem is hope has nothing to do with making money. Anyone can make a mistake, but only fools make the same mistake twice.
• They do not know what moves the markets – Average investors lose money since they do not know what makes the market move. Livingston read continuously and hired experts to find the answers.
• They lack experience – Livingston began trading at 14 and saw many market moves.
• They are ill suited for speculation – Some people lack the emotional or intellectual stamina to be speculators. Livingston made $1,000 at 15. He went bankrupt in 1915 and owed millions, but within two years, he repaid all his debts with interest. Two years after that, he was a multimillionaire again.

Market Lessons

Livingston said the following strategies helped him become a profit-making speculator:

• Sit tight – Since the market goes in two directions, many investors are right. But the key is waiting, and selling or buying at the right time. Investors who know when to buy and sell are rare, but they reap the greatest profits.
• Be confident – To be a successful investor, you need to trust in your judgment.
• Study general conditions – Big money drives the major market trends. This takes precedence over individual sales.
• Trust your senses – Livingston once sold 5,000 shares of Union Pacific short without any fundamental or technical reason. He just had a hunch it would go down. Weeks after he started to sell short, the earthquake hit San Francisco and disrupted the railroad’s lines. He netted $250,000 on the trade. Then, the stock began to be accumulated. Livingston noticed the action and began buying. But a branch manager at his brokerage firm talked him out of buying the stock. Days later, Union Pacific said it would pay its dividend, and the stock shot up. That cost Livingston $40,000.

Be a disciplined buyer or seller – If you are bullish and buying stock, each new buy should be higher than the last purchase. This is called “scaling up.” Conversely, you should make each sale at a price that is lower than the last. Livingston was known to issue buy and sell orders to test the market’s strength and the resiliency of its trends.

Conclusion

Successful trading demands a blend of self-reliance, keen market understanding, and emotional control. Larry Livingston’s journey is a powerful example of the intricacies of market dynamics, the perils of tip reliance, and the importance of learning from both successes and failures. The wisdom and challenges of the trading world highlight the necessity of continuous adaptation and the cultivation of one’s own analytical prowess.

About the Author

Mining engineer Edwin Lefèvre became a journalist at age 19. During his 53-year-long career, he wrote eight books, including The Making of a Stockbroker. He became a celebrated financial author with his serialized publication of the fictionalized story of Jesse Livermore.

Genres

Money, Investments, Economics, Biography, Memoir, Finance, Business, History, Psychology

Review

The book is a fictionalized account of the life and career of Jesse Livermore, one of the most famous and successful stock traders in history. The book follows the narrator, Larry Livingston, as he learns the ropes of speculation in the early 20th century, from trading in bucket shops to making and losing fortunes on Wall Street. Along the way, he shares his insights and wisdom on the psychology, strategies, and principles of the stock market, as well as his personal triumphs and tragedies.

The book is widely regarded as a classic and a must-read for anyone interested in trading, investing, or finance. It is not only a fascinating and entertaining story, but also a valuable source of timeless lessons and advice that are still relevant and applicable today. The book reveals the inner workings of the market, the human emotions that drive it, and the common pitfalls and mistakes that traders make. It also shows the importance of discipline, patience, risk management, and self-knowledge in achieving success and avoiding ruin. The book is written in a clear, engaging, and conversational style, with vivid descriptions and anecdotes that bring the characters and events to life. The book is not without its flaws, however. Some of the details and facts may be inaccurate or embellished, as the book is based on Lefèvre’s interviews and conversations with Livermore, who was known to be secretive and elusive. Some of the trading methods and techniques may also be outdated or impractical in the modern market, as the book reflects the conditions and regulations of its time. Moreover, some of the moral and ethical aspects of Livermore’s actions and decisions may be questionable or controversial, as he was often accused of manipulation, fraud, and betrayal.