Money and Finance
- 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...
- Public Information And Libor Manipulation
Thanks to Bill for passing this along. It appears the Libor Manipulation story has a lot more to it than just the recent headlines. On August 25, 2011, Charles Schwab Bank and Charles Schwab Corporation filed suit alleging 12 banks conspired to manipulate...
- Warren Stephens: How Big Banks Threaten Our Economy
As of this past January, any bank operating in the United States with more than $50 billion in assets must have the business equivalent of a living will—plans for what to do in the event of catastrophe. Every well-managed business should have contingencies...
- Daniel Kahneman Comment On "the Big Short"
From the 2011 LMCM Thought Leader Forum: "Look, every success story after the fact makes sense, that's the problem. There's something I'd like to add about hindsight, just to strengthen the point. It's something that many of us are thinking...
- John Mauldin: Where Is The Ecb Printing Press?
Europe remains the focus of markets, and rightly so. But the picture is not as clear as one would like. Different analysts point to different problems – if only this one problem could be solved, then all this would go away, they tend to say. Sadly,...
Money and Finance
John Mauldin: Gambling in the House?
The latest scandal du jour seems to be about what is now called LIBORgate. But is it a scandal or is it really just business as usual? And if we don’t know which it is, what does that say about how we organize the financial world, in which $300-800 trillion, give or take, is based on LIBOR? This is actually just the second verse of the old song about derivatives, which is a much larger market. Which of course is a problem that was not solved by Dodd-Frank and that has the potential to once again create true havoc with the markets, whereas LIBOR can only cost a few billion here and there. (Sarcasm intended.)
The problem is the lack of transparency. Why would banks want to reveal how much profit they are making? The last thing they want is transparency. This week I offer a different take on LIBOR, one which may annoy a few readers, but which I hope provokes some thinking about how we should organize our financial world.
- 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...
- Public Information And Libor Manipulation
Thanks to Bill for passing this along. It appears the Libor Manipulation story has a lot more to it than just the recent headlines. On August 25, 2011, Charles Schwab Bank and Charles Schwab Corporation filed suit alleging 12 banks conspired to manipulate...
- Warren Stephens: How Big Banks Threaten Our Economy
As of this past January, any bank operating in the United States with more than $50 billion in assets must have the business equivalent of a living will—plans for what to do in the event of catastrophe. Every well-managed business should have contingencies...
- Daniel Kahneman Comment On "the Big Short"
From the 2011 LMCM Thought Leader Forum: "Look, every success story after the fact makes sense, that's the problem. There's something I'd like to add about hindsight, just to strengthen the point. It's something that many of us are thinking...
- John Mauldin: Where Is The Ecb Printing Press?
Europe remains the focus of markets, and rightly so. But the picture is not as clear as one would like. Different analysts point to different problems – if only this one problem could be solved, then all this would go away, they tend to say. Sadly,...