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Originally posted by regor77
reply to post by jws43yale
Why didnt you word it "I am a banker and......."? I spose it would have sounded like you were defending colleagues. Are you?
Originally posted by stuncrazy
reply to post by Starchild23
i would say the main reason for the many threads would be to update the information. if there were a better way to put updates on the first page of the OP then i'd say this is rehashing, but considering to update you would have bury the information deep in the thread. i think it would be better for those interested to start a new thread.
as for the OP this is starting to get crazy. really makes alarms go off in my head. considering i don't trust anything i automatically assume the worst. which is that the boat is heading for an iceberg and only those steering the boat can see it coming so they're jumping in the life boats before it crashes.
Originally posted by jws43yale
Originally posted by The Sword
reply to post by dplum517
Let's see statistics from the past about banker resignations before we jump to a conclusion.
I'm sure that they happen every year.
I posted alluding to exactly what you do above in the previous thread but was completely ignored as people would rather create a big conspiracy over this rather accept the much less spectacular truth.
This isn't part of any conspiracy. I work in finance and it is very typical for resignations to come in this time of the year (right after bonuses are paid). This year there have been a larger number of departures from US banks given cutbacks in pay and bonuses but this is something that happens every single year.
Unfortunately I don't think data is available to specifically validate numbers by year. Might be able to find in old Google News searches. Issue is the topic has been highlighted alot more with banks coming under more scrutiny. GS has multiple partners retire every January/February but this is the first year I have seen actual articles about it.
This really is usual course of business in finance but is just receiving more coverage this year than normal given all the emphasis on banker pay, etc.
Some people have suggested in older updates that this may be a yearly occurance, where the bankers quit once they receive their bonus. It does seem to make sense in some of the above cases, however, we are seeing a lot of bankers quitting because of scandals, corruption or undisclosed reasons.
For those who have said this could be due to the bonuses, when do you expect this to end?
Originally posted by OliArtist
Just a thought here, but might it be that important bankers are stepping down or planning to because of the Greek default. The Telegraph in the UK is reporting that Greece might finally default this week or next; there is already a thread about it here www.abovetopsecret.com....
Anyway the point being this:
If the CDS (Credit Default Swap) commitments are triggered, and they would be by a Greek default, the actual debt exposure of the banks will possibly be far greater than the majority of people (including politicians) realise. After all, if the average debt is leveraged say 30-50 times, and each time it is leveraged extra fees are added (basically financial entities selling insurance on debt, then insurance on that insurance, and then insurance on that insurance, and so on and so forth) then the actual international financial system-wide liability for a Greek default may be say almost one hundred times the actual 'on the face of it' debt.
An added problem is that because all of these CDS sales were made as separate business transactions, the paper (or electronic) trail will be very convoluted and difficult to pin down. It will also mean than many financial entities that have never dealt with Greece or Greek debt directly will be utterly exposed, and many may not even realise it, especially if they are far up the rungs of the leveraging ladder.
Look at it like this. We know that the notional debt of the world is of a value many hundreds (perhaps thousands) of times higher than the real cash that exists in the world. Scaling it down what we have done is create a system where even a relatively minor economy like Greece defaulting will create a trauma of a scale many hundreds (or perhaps thousands) of times the scale that one would at first imagine.
I suggest that the bankers who are resigning, being the ones who created, or at least encouraged, this system have been some of the few to truly recognise the true scale of the impact a Greek default will have. Also I would add that there is no way out of this. If Credit Default Swaps are not honoured then the effects will be even worse because all lending will stop overnight to most nations. After all, if in one default CDS obligations were ignored, why would any lender trust them again for any other country - and the sad fact is that most nations are, in all reality, such bad risks that no lender in their right mind will be prepared to make a loan without an insurance policy.
So there you go, its all pretty simple. Its like an asteroid hitting the Earth and causing a mass extinction. The asteroid (in this case Greece) looks pretty small, but its the hidden stuff we can see like the material its made of and the kinetic energy that will cause massive damage. In Greece's case its not the debt we hear about from the Eurozone politicans, or the ECD, or the commentators on Bloomberg, nope, its the massively larger liability from the over-leveraged CDS system.
After all, if the average debt is leveraged say 30-50 times, and each time it is leveraged extra fees are added (basically financial entities selling insurance on debt, then insurance on that insurance, and then insurance on that insurance, and so on and so forth) then the actual international financial system-wide liability for a Greek default may be say almost one hundred times the actual 'on the face of it' debt.
Originally posted by babybunnies
This does not necessarily mean that TPTB are losing their grip.
It could mean that they're using this as an opportunity to move their own people into positions of power, just in time for a fall.
Originally posted by VitriolAndAngst
Originally posted by babybunnies
This does not necessarily mean that TPTB are losing their grip.
It could mean that they're using this as an opportunity to move their own people into positions of power, just in time for a fall.
We seem to be having the same notion. I really hope we are wrong -- but I'm afraid we are right.
The Tooth Fairy isn't going to suddenly show up and smite some bankers, and food will not fall from the sky on Darfur. Good things aren't going to happen unless we force them to happen.
Originally posted by bobs_uruncle
reply to post by Gab1159
My BIG question would be, if they are retiring (the ones that are anyway or stepping down), where are they retiring to? Might be an idea to buy some land wherever that might be LOL. Bush bought 100k acres in Paraguay?
Cheers - Dave
Originally posted by Surferess
For anyone who is following the resignations, there is a new Facebook acct who is listing all new resignations and arrests in real time. Here is the URL:
www.facebook.com...
edit on 5-3-2012 by Surferess because: wrong url on first post. sry.