Episode

Isaac Newton Lost 80% of His Fortune in a Bubble -- What That Teaches Every Investor (SB1856)

Podcast
The Stacking Benjamins Show
Published
Jun 17, 2026
Duration seconds
3621
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Summary

Thanks to Surfshark for sponsoring the show. Go to  https://surfshark.com/stackingb  or use code STACKINGB at checkout to get 4 extra months of Surfshark VPN! Isaac Newton was one of the smartest humans who ever lived. He also bought into the South Sea Bubble, sold for a profit, watched it keep climbing, bought back in out of pure FOMO, and rode it all the way down to an 80% loss that haunted him until he died. Ben Carlson, co-host of the Animal Spirits podcast and one of the sharpest minds at Ritholtz Wealth Management, joins Joe and Anna to walk through centuries of market history -- bubbles, crashes, and the psychology that makes smart people do dumb things with money. Anna also helps a Stacker named Louie untangle his 401(k) sources and figure out whether it's finally time to bring in a professional. What You'll Walk Away With Why Isaac Newton's South Sea Bubble loss still ranks among history's most instructive investing failures -- and why it had nothing to do with intelligence Ben's framework for why risk means something completely different depending on where you are in your life cycle -- and why a market crash genuinely doesn't matter the same way to a 25-year-old and a 55-year-old The wrong lesson an entire generation learned from 2008 -- and why everyone preparing for the last crisis missed the next seventeen years of bull market Why Japan's three-decade stock market bubble is the best real-world case for diversification -- and why it doesn't translate as cleanly to the US as people assume The behavioral reason complex investment strategies are easy to sell and nearly impossible to hold through a downturn -- while simple strategies survive the pain Why Ben's firm discovered that the hardest financial transition isn't saving for retirement -- it's ac…