Money and Finance
- Charlie Munger On Accounting For Derivatives
This is from a few years before the financial crisis (from Poor Charlie's Almanack):I hate with a passion GAAP [Generally Accepted Accounting Principles] as applied to derivatives and swaps. JP Morgan sold out to this type of accounting to front-end...
- Carol Loomis' Derivatives Articles From 1994 & 1995
Thanks to Lincoln for passing these along. Links to articles: The risk that won't go away UNTANGLING THE DERIVATIVES MESS .......... Excerpt:Given the range of complications that derivatives present, outside directors cannot possibly achieve close...
- Felix Zulauf's Market Prognosis - June 2012
Found via Zero Hedge. There is too much debt in the industrialized world and the financial system is virtually bust. Real disposable income is stagnating or declining. Employment participation keeps heading south. This produces a chain...
- Excerpt From Buffett's 2002 Annual Letter
Excerpt from Mr. Buffett's 2002 Letter to the Shareholders of Berkshire Hathaway that is worth reviewing in light of recent market developments: When we purchased Gen Re, it came with General Re Securities, a derivatives dealer that Charlie and I...
- Warren Buffett On Derivatives – From 2005 Berkshire Hathaway Letter To Shareholders
In light of recent events, I thought it may a good time to review the brief discussion on derivatives from Mr. Buffett in his 2005 letter to shareholders. Many companies, executives, analysts, and members of the media are claiming that current derivatives...
Money and Finance
Derivatives
“In our view, however, derivatives are financial weapons of mass destruction, carrying dangers that, while now latent, are potentially lethal.” –Warren Buffett, 2002 Letter to Shareholders
The chart below was found via Zero Hedge. The related paper from the Bank for International Settlements is available HERE. Notice how much the derivatives market has grown since Buffett made the above statement.
- Charlie Munger On Accounting For Derivatives
This is from a few years before the financial crisis (from Poor Charlie's Almanack):I hate with a passion GAAP [Generally Accepted Accounting Principles] as applied to derivatives and swaps. JP Morgan sold out to this type of accounting to front-end...
- Carol Loomis' Derivatives Articles From 1994 & 1995
Thanks to Lincoln for passing these along. Links to articles: The risk that won't go away UNTANGLING THE DERIVATIVES MESS .......... Excerpt:Given the range of complications that derivatives present, outside directors cannot possibly achieve close...
- Felix Zulauf's Market Prognosis - June 2012
Found via Zero Hedge. There is too much debt in the industrialized world and the financial system is virtually bust. Real disposable income is stagnating or declining. Employment participation keeps heading south. This produces a chain...
- Excerpt From Buffett's 2002 Annual Letter
Excerpt from Mr. Buffett's 2002 Letter to the Shareholders of Berkshire Hathaway that is worth reviewing in light of recent market developments: When we purchased Gen Re, it came with General Re Securities, a derivatives dealer that Charlie and I...
- Warren Buffett On Derivatives – From 2005 Berkshire Hathaway Letter To Shareholders
In light of recent events, I thought it may a good time to review the brief discussion on derivatives from Mr. Buffett in his 2005 letter to shareholders. Many companies, executives, analysts, and members of the media are claiming that current derivatives...