Comments on: Fed Hires Bear Stearns Risk Chief…To Supervise Bank Soundness http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto.html Sun, 22 Nov 2009 07:56:24 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: Anonymous http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto.html#comment-24591 Anonymous Thu, 06 Nov 2008 19:59:00 +0000 http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto-supervise-bank-soundness/#comment-24591 reminds me of some of the other major blunders of our wonderful wall street execs http://undercoveronwallstreet.blogspot.com/2008/11/this-centurys-10-biggest-blunders-by.html reminds me of some of the other major blunders of our wonderful wall street execs http://undercoveronwallstreet.blogspot.com/2008/11/this-centurys-10-biggest-blunders-by.html

]]> By: EconJournal http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto.html#comment-24407 EconJournal Wed, 05 Nov 2008 03:58:00 +0000 http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto-supervise-bank-soundness/#comment-24407 When Schwarzman of Blackstone is arguing for the need of transparency in financial system, why not Bear Stearns guy be appointed as risk manager? The current period is never short of ironies.<br/>http://online.wsj.com/article/SB122576100620095567.html When Schwarzman of Blackstone is arguing for the need of transparency in financial system, why not Bear Stearns guy be appointed as risk manager? The current period is never short of ironies.
http://online.wsj.com/article/SB122576100620095567.html

]]> By: baychev http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto.html#comment-24385 baychev Tue, 04 Nov 2008 21:12:00 +0000 http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto-supervise-bank-soundness/#comment-24385 a man with dignity who understands what he is doing would not let a company take excessive bets while he is supposed to ring the panic bell before the senior management and the SEC if he feels his concerns were not addressed adequately.<br/>so much for alix' skills and competences. maybe the fed needs an obedient dog that will close his eyes and not escalate problems, maybe they need another clueless punk. but if they need someone to supervise, this certainly is not the man. a man with dignity who understands what he is doing would not let a company take excessive bets while he is supposed to ring the panic bell before the senior management and the SEC if he feels his concerns were not addressed adequately.
so much for alix’ skills and competences. maybe the fed needs an obedient dog that will close his eyes and not escalate problems, maybe they need another clueless punk. but if they need someone to supervise, this certainly is not the man.

]]> By: Matt L http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto.html#comment-24376 Matt L Tue, 04 Nov 2008 18:04:00 +0000 http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto-supervise-bank-soundness/#comment-24376 umm... Is it me or does it seem like the foxes have been hired to watch the hen houses? Its not just Alix after all, its the whole lot of them at the Fed and Treasury. Many of the experienced civil servants disappeared years ago and were replaced by political hacks and opportunists. umm… Is it me or does it seem like the foxes have been hired to watch the hen houses? Its not just Alix after all, its the whole lot of them at the Fed and Treasury. Many of the experienced civil servants disappeared years ago and were replaced by political hacks and opportunists.

]]> By: sc http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto.html#comment-24371 sc Tue, 04 Nov 2008 17:11:00 +0000 http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto-supervise-bank-soundness/#comment-24371 Alix is one of the best risk managers I have ever met. Mgmt of BSC is another story. Just as economists in the Fed were telling Greenspan to regulate it doesn't mean management chooses to hear it. Alix is an outstanding hire for the Fed and he is one guy that will not be BS'ed by banks because he knows more than 99% of risk managers out there. Alix is one of the best risk managers I have ever met. Mgmt of BSC is another story. Just as economists in the Fed were telling Greenspan to regulate it doesn’t mean management chooses to hear it. Alix is an outstanding hire for the Fed and he is one guy that will not be BS’ed by banks because he knows more than 99% of risk managers out there.

]]> By: Anonymous http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto.html#comment-24369 Anonymous Tue, 04 Nov 2008 16:31:00 +0000 http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto-supervise-bank-soundness/#comment-24369 Well, let's stop pretending that we do or do not know what Mr. Alix's aptitude for risk management. Maybe he could be very good or maybe not. The fact that he worked at Bear Stearns means that he was NEVER taken seriously or was window dressing. That shop was built and run by their traders. Thus, risk management, legal and accounting were glorified "YES" men and it was one big echo chamber since the traders were the only ones allowed to do the talking. In a rising market, there was no risk as far as they were concerned. Now, could Mr. Alix be a better risk manager than say a former commercial bank risk manager? Absolutely, since he has seen much more products, hedging practices or trade ideas in the mortgage space than most. He also saw what worked and what didn't so experience is nothing to dismiss. However, let's not judge him as a savvy or awful manager of risk because he worked at Bear. Whatever his opinions there, they more likely than not, would have been ignored. Wonder who the other candidates were... and yes, they DO shoot messengers in DC. Well, let’s stop pretending that we do or do not know what Mr. Alix’s aptitude for risk management. Maybe he could be very good or maybe not. The fact that he worked at Bear Stearns means that he was NEVER taken seriously or was window dressing. That shop was built and run by their traders. Thus, risk management, legal and accounting were glorified “YES” men and it was one big echo chamber since the traders were the only ones allowed to do the talking. In a rising market, there was no risk as far as they were concerned. Now, could Mr. Alix be a better risk manager than say a former commercial bank risk manager? Absolutely, since he has seen much more products, hedging practices or trade ideas in the mortgage space than most. He also saw what worked and what didn’t so experience is nothing to dismiss. However, let’s not judge him as a savvy or awful manager of risk because he worked at Bear. Whatever his opinions there, they more likely than not, would have been ignored. Wonder who the other candidates were… and yes, they DO shoot messengers in DC.

]]> By: Walter http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto.html#comment-24365 Walter Tue, 04 Nov 2008 15:38:00 +0000 http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto-supervise-bank-soundness/#comment-24365 "The fact that Bear failed doesn't mean that risk management failed. "<br/><br/>You can certainly argue that it wasn't a failure to recognize and report the risk (I have no idea on that count).<br/><br/>But "risk management" clearly failed spectacularly. I can't say if the failure was one of recognition, communication, or influence. But clearly the risk was not managed, so by definition failure. “The fact that Bear failed doesn’t mean that risk management failed. “

You can certainly argue that it wasn’t a failure to recognize and report the risk (I have no idea on that count).

But “risk management” clearly failed spectacularly. I can’t say if the failure was one of recognition, communication, or influence. But clearly the risk was not managed, so by definition failure.

]]> By: joshyMinor http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto.html#comment-24360 joshyMinor Tue, 04 Nov 2008 15:20:00 +0000 http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto-supervise-bank-soundness/#comment-24360 Thats how it works under the Bush Regime! the rich get richer and the poor, well you know.<br/><br/>Jiff<br/>www.anolite.echoz.com Thats how it works under the Bush Regime! the rich get richer and the poor, well you know.

Jiff
http://www.anolite.echoz.com

]]> By: River http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto.html#comment-24357 River Tue, 04 Nov 2008 14:56:00 +0000 http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto-supervise-bank-soundness/#comment-24357 The US plans to market $500 Billion more in Treasuries this quarter. <br/><br/>Brad Setzer has some interesting comments about these sales:<br/><br/>...snip...'I would be surprised, though, if it is all bought by central banks. Or even if most of the new Treasury will be absorbed by central banks. For the first time in a long time, I suspect Americans — not the world’s central banks — will be the main source of new lending to the Treasury.<br/><br/>Why? The last few months have been marked by three trends:'...snip...<br/><br/>Maybe Alix should have been employed by Treasury?<br/><br/>http://blogs.cfr.org/setser/ The US plans to market $500 Billion more in Treasuries this quarter.

Brad Setzer has some interesting comments about these sales:

…snip…’I would be surprised, though, if it is all bought by central banks. Or even if most of the new Treasury will be absorbed by central banks. For the first time in a long time, I suspect Americans — not the world’s central banks — will be the main source of new lending to the Treasury.

Why? The last few months have been marked by three trends:’…snip…

Maybe Alix should have been employed by Treasury?

http://blogs.cfr.org/setser/

]]> By: Anonymous http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto.html#comment-24355 Anonymous Tue, 04 Nov 2008 14:55:00 +0000 http://www.nakedcapitalism.com/2008/11/fed-hires-bear-stearns-risk-chiefto-supervise-bank-soundness/#comment-24355 ...there was no "mast" on the Titanic. …there was no “mast” on the Titanic.

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