JP Morgan's "Unicorn Hedge" Fairy Tale Harpoons the London Whale!
Sign in to YouTube
Sign in to YouTube
Sign in to YouTube
Published on May 11, 2012
Follow us @
Welcome to Capital Account. From Whale Tails to Unicorn Fairytales, this week has ended with a bigger splash then anyone could have expected. The London Whale has officially capsized JP Morgan's balance sheet with a reportedly 2 billion dollar trading loss. Jamie Dimon, the firm's CEO, admitted "egregious mistakes" were made and that he and his colleagues were "stupid." Fair enough, but why were these mistakes made, and was this trade a legitimate hedge as Jamie Dimon claims, or more of a "unicorn hedge" as our guest Heidi N. Moore called it? Why was this trade put on through the company's CIO, and why was it done so on a portfolio level? That's an awfully broad way to hedge risk on the titanic. What happens with this ship finally tries to make it back to port? JP Morgan now has tremendous exposure on its balance sheet that, if it were to try and unwind, may not find too many friendly buyers.
Also, what does this recent hole on the side of Jamie's ship say about risk management on wall street? JP Morgan and it's captain Jamie Dimon have been the darlings of wall street. His firm weathered the financial crisis in 2008 without so much as a hiccup, using it as an opportunity to buy up rival Bear Sterns for pennies on the dollar. But will this latest torpedo to JP Morgan's balance sheet provide further ammunition to those calling for stricter and tighter regulations of wall street firms that make risky bets with depositors' money? Is this the time for the public to pay closer attention than ever before to legislative efforts like those surrounding the Volcker Rule or are too big to fail banks going to continue to make proprietary bets with our money until all of us go broke? We speak with members of Occupy Wall Street, including Alexis Goldstein and Brett Goldberg during the second half of our show. Besides their fantastic work on the Volcker Rule, they have been active in trying to help put some teeth into President Barack Obama's "mortgage financial fraud task force." We speak to them about their efforts in this regard as well.
- 27:53 Nigel Farage on the "EU Titanic" and the "Rebirth of National Socialism in Europe"by CapitalAccountFeatured 68,840
- 28:02 James Turk gives his timeline on the Dollar's Collapse and Gold's role as the messenger!by CapitalAccount 64,449 views
- 28:06 Jim Rogers on the need for orderly defaults in Europe, starting with Greeceby CapitalAccount 20,373 views
- 28:06 Is JP Morgan CEO Jamie Dimon the "World's Funniest Financier?"by CapitalAccount 18,796 views
- 44:54 A MUST LISTEN! Jim Willie - GoldenJackAss TFMR interview - May 11, 2012by TruthOverFacts 6,333 views
- 1:34:33 - The New Dark Age -by LaRouchesupport 7,811 views
- 28:03 Jim Rickards on Europe's Bank Run and why JP Morgan was late to "Puke the Trade"by CapitalAccount 30,160 views
- 10:57 The Federal Reserve and JP Morgan Chase Laundered $15 Trillion to UK Banksby OperationLeakS 8,978 views
- 10:03 Fukushima, JP Morgan and the Criminal Cabal - All At An End - Ben Fulfordby 108morris108 16,993 views
- 5:34 JPMorgan's "London Whale" trader should be fired: Dick Bove - Fast Forwardby ReutersTV 4,561 views
- 28:05 Gerald Celente calls out Jamie "two-bit" Dimon and his Financial Crime Syndicateby CapitalAccount 19,871 views
- 28:04 Lauren Lyster and Heidi Moore infiltrate JP Morgan's Mafia Hearings in Washington DC!by CapitalAccount 19,591 views
- 28:02 Facebook's IPO Bombs, while "Hot" Tech Companies Cook the Books!by CapitalAccount 12,719 views
- 28:03 House Republicans seek Independent Investigation of MF Global Bankruptcyby CapitalAccount 5,025 views
- 28:05 William Black on JP Morgan and the Failure to Regulate Wall Street Fraudby CapitalAccount 11,940 views
- 12:45 MELTDOWN UPDATE: The JP Morgan Derivatives Book is Blowing Up - Bix Weirby SGTbull07 40,946 views
- 28:05 GATA's Bill Murphy exposes how the Gold Cartel is Bombing the Market for Precious Metalsby CapitalAccount 29,131 views
- 28:01 Mike Maloney breaks down Price Manipulation in the Gold and Silver Marketby CapitalAccount 20,022 views
- 28:00 A Too-Big-To-Fail Whale Tale, a Lousy Jobs Report, and "Lazy Methodology"by CapitalAccount 13,405 views
- 25:46 Keiser Report: I Steal, Therefore I Am (E286)by RussiaToday 36,987 views
- Loading more suggestions...