OFFICIAL WEBSITE - A Colossal Failure Of Common Sense

Former Lehman Brothers Vice President Explains Failure

admin — Mon, 01 Mar 2010 14:13:14 +0000

BROTHERS GRIM — Larry McDonald, who worked for the ill-fated Lehman Brothers investment bank, speaks at a KPU event about the company’s bankruptcy filing in September 2008. McDonald blamed the Board of Directors for the ...

Ex-US Treasury Secretaries Back Volcker Rule

admin — Mon, 22 Feb 2010 13:56:19 +0000

On the speaking tour at Franklin Templeton and Danske Bank, it has been my mission to have more transparency of risk. It's great to see some heavy hitters picking up the torch!

Study: States Must Fill $1 Trillion Pension Gap

admin — Thu, 18 Feb 2010 13:55:10 +0000

States may be forced to reduce benefits, raise taxes or slash government services to address a $1 trillion funding shortfall in public sector retirement benefits, according to a new study that warns of even more debilitating costs if immediate action isn't taken.

How Goldman Sachs Helped Greece to Mask its True Debt

admin — Fri, 12 Feb 2010 19:22:25 +0000

Goldman Sachs helped the Greek government to mask the true extent of its deficit with the help of a derivatives deal that legally circumvented the EU Maastricht deficit rules.

Volcker Urges Curbs on Big Banks’ Risky Trades

admin — Wed, 03 Feb 2010 13:10:00 +0000

White House economic adviser Paul Volcker urged Congress Tuesday to rein in risky investing by big banks to prevent them from becoming "too big to fail."

AIG Investigator: Where the Billions Went

admin — Tue, 26 Jan 2010 18:49:53 +0000

The New York Times Neil M. Barofsky is not a household name like some special investigators of the past — Kenneth Starr during the Clinton administration or Archibald Cox in the Watergate years. But increasingly, Mr. Barofsky ...

The ‘Volker Rule’

admin — Tue, 26 Jan 2010 18:33:13 +0000

It’s pretty clear the most disgruntled man in Washington 15 days ago was Paul Volker. He had been pounding the table to bring back Glass Steagall since Thanksgiving, and had been consistently ignored by ...

Credit Swaps Rise Most Since June Amid Regulatory Uncertainty

admin — Sat, 23 Jan 2010 14:22:03 +0000

By John Detrixhe and Shannon D. Harrington Jan. 22 (Bloomberg) — The cost to protect against defaults on U.S. corporate bonds rose this week by the most since June as President Barack Obama proposed reigning in ...

IMF head in ‘double-dip’ global economy warning

admin — Mon, 18 Jan 2010 15:30:34 +0000

The International Monetary Fund head has warned that the global economy could experience another downturn - a so-called double dip recession. Dominique Strauss-Kahn said countries should not exit from stimulus packages that have bolstered growth through ...

WEEKLY UPDATE - Market Watch From The Trenches

admin — Mon, 18 Jan 2010 13:35:47 +0000

Major Theme: Healthy Corporate Debt Markets vs. Weaker Sovereign Debt Markets - There was a risk transfer from Governments to Corporates, signaling more confidence in corporations than nations!

The Geithner Deception

admin — Tue, 12 Jan 2010 20:53:33 +0000

In 2005, when Timothy Geithner was head of the New York Fed, he ignored one of the greatest dangers our financial markets have ever faced. And that danger was buried deep inside our banks, in the unregulated market of Credit Default Swaps.

No Good Deed Goes Unpunished as Banks Seek Profits From Bailout

admin — Mon, 04 Jan 2010 15:13:37 +0000

By Christopher Condon and Jody Shenn Jan. 4 (Bloomberg) — To understand the meaning of no good deed goes unpunished, Treasury Secretary Timothy F. Geithner can look no further than Wall Street where the banks that ...

Citigroup Denies Reported Cyber Attack

admin — Tue, 22 Dec 2009 16:54:49 +0000

By: CNBC.com with Wires The FBI is investigating a hacker attack on Citigroup that led to the theft of tens of millions of dollars, The Wall Street Journal reported Tuesday. Citing anonymous government officials, the Journal reported ...

China central banker says harder to buy U.S. Treasuries

admin — Tue, 22 Dec 2009 16:51:52 +0000

Thu Dec 17, 2009 An employee counts U.S. dollar banknotes at a Bank of China branch in Hefei, Anhui province October 16, 2009. REUTERS/Stringer BEIJING (Reuters) - It is getting harder for governments to buy U.S. Treasuries ...

Stiglitz Warns US Economy May Contract Next Year

admin — Mon, 21 Dec 2009 14:41:23 +0000

By Associated Press Nobel Prize-winning economist Joseph Stiglitz warned there’s a “significant” chance the U.S. economy will contract in the second half of next year, and urged the government to prepare a second stimulus package ...

USA Today’s End of year best business books 2009

admin — Mon, 21 Dec 2009 13:41:33 +0000

By Gary Rawlins, USA TODAY After the collapse of Lehman Bros. in September 2008, Federal Reserve Chairman Ben Bernanke, then-Treasury secretary Henry Paulson and then-New York Fed president Timothy Geithner stood on the brink of catastrophe. ...

Harvard Swaps Are So Toxic Even Summers Won’t Explain

admin — Fri, 18 Dec 2009 13:02:46 +0000

By Michael McDonald, John Lauerman and Gillian Wee Dec. 18 (Bloomberg) — Anne Phillips Ogilby, a bond attorney at one of Boston’s oldest law firms, on Oct. 31 last year relayed an urgent message from Harvard ...

SEC Just Now Seeking Key Information On Meltdown

admin — Thu, 17 Dec 2009 13:30:05 +0000

By Jake Bernstein and Jesse Eisinger, ProPublica. December 16, 2009 Almost three years since banks started taking losses that led to the worst financial crisis since the Great Depression, the Securities and Exchange Commission is still asking ...

Up 17% this year.

admin — Mon, 14 Dec 2009 22:12:09 +0000

The Pangea strategy recorded another positive month in November. The fund was up 6.21% (net of expenses and commissions but before management and performance fees) as it was positioned opportunistically across assets throughout the month.

‘The only thing useful banks have invented in 20 years is the ATM’

admin — Mon, 14 Dec 2009 15:35:43 +0000

The most important financial innovation that I have seen the past 20 years is the automatic teller machine, that really helps people and prevents visits to the bank and it is a real convenience. How many other innovations can you tell me of that have been as important to the individual as the automatic teller machine, which is more of a mechanical innovation than a financial one?

Richard Russell: Downturn Will Be ‘Vicious’

admin — Wed, 09 Dec 2009 13:18:57 +0000

By The Pragmatic Capitalist December 9th, 2009 Despite the incredible 60% rally and chatter of a new secular bull market many investors remain highly skeptical of the equity markets. David Rosenberg recently released his 10 reasons ...

Geithner challenges Goldman aid claims

admin — Tue, 08 Dec 2009 12:33:58 +0000

Even though Goldman has repaid the government's capital injection, allowing it to escape official restrictions on executive compensation, Mr Geithner said he expected restraint from all banks as they prepare to set bonuses and other pay.

Managed Futures - The Only Way To Manage Your Future

admin — Wed, 02 Dec 2009 16:33:35 +0000

By Lawrence G. McDonald In recent years, these little-known investment shops have undergone a surge in popularity, as savvy investors have seen the advantage of their high-liquidity, minimal volatility and crystal clear transparency.

European Banks Growing Bigger ‘Sowing the Seeds’ of Next Crisis

admin — Wed, 02 Dec 2009 14:08:12 +0000

BNP Paribas SA, Barclays Plc and Banco Santander SA are among at least 353 European lenders that have increased in size since the beginning of 2007, according to data compiled by Bloomberg. Fifteen European banks now have assets larger than their home economies, compared with 10 lenders three years ago.

Fed Officials Watch Asset Prices for Signs of ‘Excessive Risk’

admin — Wed, 25 Nov 2009 12:59:14 +0000

Haven’t we seen this charade before? By Craig Torres Nov. 25 (Bloomberg) — Federal Reserve policy makers said for the first time that their decision to cut interest rates to zero may be fueling undue financial-market speculation ...