peterrabbit

Brokers Becoming Banks? The Press Got It Wrong

This is really confusing - I can't see ANY advantage to becoming a BHC. So why did they do it? All the reasons advanced by the press (use of deposits to set against investment banking operations for CAR reasons; permanent access to the Fed discount window) have been repudiated in your post. so we are left with a mystery. More work, please! :)

Morgan Stanley Started Down Bank Path Awhile Ago?

Yes, excellent spot. GS is of course putting the best spin on this, so it may be all garbage, exaggerated. What strikes me is how GS was boasting about their bet against the mortgage market last year, and the huge bonuses everyone was getting - but no one thought of putting sufficient capital aside to cover the increased macro risk collapsing housing prices obviously require. Utter bullshit.

Merrill Lynch’s Taiwanese Laundry

Huh? I read the full article - you miss out all the interesting bits about how ML has a system in place which was completely overridden in the case of the Taiwan money laundering. I don't get what you are saying either.