Not many of you aware of the incident that took place in the month of April 2012 Bloomberg and Wall street journal made the headlines JPMorgan Trader’s Positions Said to Distort Credit Indexes and ‘London Whale’ Rattles Debt Market.
Picking up from the CDX.NA.IG indices are composed of 125 North American corporate credits that are investment grade when the index begins trading understanding JP Morgan loss.Taking a position in the index allows traders to hedge or speculate. Going long means selling protection on the index in the expectation that the underlying company credits improve or at least do not default. Going short means buying protection on the index. The net notional value of the CDX.NA.IG.9 has surged from about $90bn at the start of the year to $150bn in April – indicating a big jump in trading. Continue reading “The Whale trade of JP Morgan in 2012”
Good morning last day of 2012 checking the mood of market well. This is the most news driven market we’ve had since the Greece story. You gotta be quick on your feet.
Thought of sharing the post that attained maximum readers on a day. It was May 11 2012 when the leading financial media broke the story on Thursday night about the $2bn trading loss on credit derivatives trading, which chief executive Jamie Dimon blamed on errors,sloppiness and bad judgement” and warned “could get worse”.
Continue reading “2012 Most read post – The JP Morgan series”
The nastiest thing I’ve ever told anyone(a finance fellow angry with me): “When you have absolute intellectual and more disrespect for someone, the only real compliment you can possible get from his in making him angry”
“In economic life and history more generally, just about everything of consequence comes from black swans; ordinary events have paltry effects in the long-term.” –Nassim Nicholas Taleb
Nassim Taleb’s contribution to the world of finance are two fascinating concepts Continue reading “Learning to Love Volatility”
Well when you wake up on this weekend after hangover the history could have changed. A small country Greece has already put companies around the world on high alert on the occasion of Greek vote. This would be so fast that election will be held on sunday and by 11pm you will have the winner.
The major 3 parties and their view if the come to the power : Continue reading “Grexit : The Weekend hangover”