lindlou

Large OTC Markets + Excessive Leverage + FVA = Systemic Risk

"How does a concept like FVA, which depends upon a certain degree of good faith by all market participants, operate in such a deliberately dishonest environment?"
I think this quote from the article sums it all up. When corruption reaches this level the damage is irrepairable.

Backroom Bear Stearns Deal Exposed

To me, it seems there is much too much collusion between the Fed and the private industry they are supposed to be supervising. I never see mention of the fact that JP Morgan Chase CEO Jamie Dimon holds a seat on the Federal Reserve Bank of New York's board. If this isn't a severe conflict of interest, especially when this is the organization that is deciding if your company can purchase another company for pennies on the dollar, I don't know what is.