Wolf Richter: Markets, Regulators Ignore Ticking Time Bomb of Shadow Margin Loans
Shadow margin loans are a sign of speculative excess and complacency about risk.
Read more...Category Archives: Risk and risk management
The Real Cause of the Italian Bank Bailouts and Euro Banking Troubles
How a banking union has created deep divisions that undermine the Eurozone’s stability.
Read more...“Howard Marks Seems to Read Naked Capitalism” on Private Equity Fund-Level Borrowing That Juice Reported Returns While Increasing Risks
Storied investor Howard Marks penned a not-very-positive post on private equity subscription lines of credit, echoing our earlier warnings.
Read more...Skepticism About Private Equity Fees Going Mainstream: Pew and CalPERS Versus Yale and Industry Stalwarts
Private equity is getting defensive about its fees, and for good reason: its justifications for them are being exposed as hollow.
Read more...Business Press Waking Up to Bank Legacy IT Risk
Reuters discusses the challenge of moving off legacy systems. While the piece is a long overdue, it still seems more than a tad optimistic.
Read more...Commercial & Residential Real Estate Bubble Again a Risk to Financial Stability; Fed’s Rosengren Worried
Real estate is again looking like a ticking time bomb. At super low interest rates, pray tell what does the Fed do if it blows up again?
Read more...Ian Fraser: What the HBOS Fraud Tells Us About the State of British Banking
The £1 billion HBOS Reading fraud, my part in exposing it, and what it tells us about the state of British banking
Read more...Why the Dakota Access Pipeline Doesn’t Make Economic Sense
The math on the Dakota Access Pipeline doesn’t add up.
Read more...China Banks in 2017: No Rebound in Sight, Rising Risks for Smaller Banks
Why there is no cause for cheer on the China banking front.
Read more...Ilargi: Unrest Is The Only Growth Industry Left
Get used to unrest as part of the volatile new normal.
Read more...Ending Too Big to Fail
Yves here. Remember the explosion of press coverage last year when incoming Minneapolis Fed member and former Goldmanite and Treasury official Neel Kashkari announced his intent to develop a plan to end the “too big to fail” problem. He not only was going to devote Minneapolis Fed researchers to his program, but solicited broad based […]
Read more...Nomi Prins: My Political-Financial Road Map for 2017
Some specifics of why political risk and central bank policy will make for a wild ride in 2017.
Read more...When a Business You Like Dies
Mourning the death of a favorite business, and what that says about the environment for entrepreneurs.
Read more...GT Group’s Protean Ian Taylor in the UK: Reuters’ Special Report on 43 Bedford Street, and More
An ignominious decade of UK company registration, illustrated by UK companies formed by Ian Taylor, an old friend from New Zealand
Read more...Banks Whinge About Tougher EU Regulations to Reduce Too Big to Fail Risk
The Financial Times is a bit too sympathetic to poor oppressed banks facing tougher EU safety rules.
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