Tuesday, August 20, 2013
Friday, September 7, 2012
Diamond in the "Rough"
Having worked at the Barclays group during the early 1990s, a period when the firm made its initial futile efforts at transitioning itself from a "classic" commercial clearing bank" into an investment bank, I remain respectful about the later successful contribution made by Mr. Diamond. Only after bringing him on board, after numerous internal candidates failed, did the group finally have a leader with the intellect, savvy and energy to garner the commitment of a capable staff and the respect of the marketplace!
No doubt, to sustain a competitive market presence, he stressed an incentive system that was extreme, but that was the only way the business could have functioned during this period, given the overall industry compensation structure!
I am deeply concerned that Mr. Diamond is being depicted as the "Ugly American" by the U.K. press and authorities, only after everyone over there enjoyed themselves at the party for ten plus years.
These considerations are not intended to defend his role in the Libor scandal, which at some level he must accept responsibility, but only to offer a well deserved and balanced commentary, rather than "hypocritical babble."
No doubt, to sustain a competitive market presence, he stressed an incentive system that was extreme, but that was the only way the business could have functioned during this period, given the overall industry compensation structure!
I am deeply concerned that Mr. Diamond is being depicted as the "Ugly American" by the U.K. press and authorities, only after everyone over there enjoyed themselves at the party for ten plus years.
These considerations are not intended to defend his role in the Libor scandal, which at some level he must accept responsibility, but only to offer a well deserved and balanced commentary, rather than "hypocritical babble."
Tuesday, June 26, 2012
Friday, June 15, 2012
Tuesday, June 12, 2012
Blinkmanship: Merkel vs. PIIGS
An article today on the WSJ's Opinion page titled - A Presidency of Excuses notes that foreign trade accounts for 89.2% of Germany's GDP. Here is the linchpin to the reason why Mrs. Merkel must ultimately foster a true financial and banking union to save the Euro. Were Germany to re-denominate its currency into a New Mark, its trade balance would be crushed! Germany is being hugely subsidized by the relative value of the Euro vs. not only the dollar and other major trading currencies, but its currency partners!
The rest of the article is hyper-politics and un-intelligent!
The rest of the article is hyper-politics and un-intelligent!
Friday, May 25, 2012
Attempt to Profit from Risk!
JP Morgan: I have to give Dimon some credit for not blaming
this organizational mess on a single "rogue trader"; it shows that risk
control is STILL very weak at large banks in particular.
They are not just too big to fail, but too big to manage.
this organizational mess on a single "rogue trader"; it shows that risk
control is STILL very weak at large banks in particular.
They are not just too big to fail, but too big to manage.
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