Quote of the Day
Derivatives are financial weapons of mass destruction.
I think, my generation, it's hard to have hope when you got a $700-trillion derivatives debt to pay and a bubble about to explode and $500 trillion worth of GDP.
Money never seems to be interested in strengthening regulatory agencies, for example, but always in subverting them, in making them miss the danger signs in coal mines and in derivatives trading and in deep-sea oil wells.
Derivatives in and of themselves are not evil. There's nothing evil about how they're traded, how they're accounted for, and how they're financed, like any other financial instrument, if done properly.
The marginal people on the trading desks, there's no skill set. If they don't trade derivatives, I don't know what they can do. The next stop is driving a cab.
Derivatives are a huge, complex issue.
I didn't become interested in derivatives until 1982, 1983.
There are challenges in terms of the measurement of VAR for what are known as nonlinear derivatives, where things like gamma and vega are important dimensions of the risk.
We started giving presentations at practitioner conferences in 1986, and since then all of our derivatives research has been stimulated by contact with practitioners.
They've been fairly positive, as firm as they could be in regards to the derivatives operations in Montreal. We didn't sense that there was a hesitation about it. But things change.
Over and over again, financial experts and wonkish talking heads endeavor to explain these mysterious, 'toxic' financial instruments to us lay folk. Over and over, they ignobly fail, because we all know that no one understands credit default obligations and derivatives, except perhaps Mr. Buffett and the computers who created them.
Share with your Friends
Everyone likes a good quote - don't forget to share.
Get Social with BrainyQuote
Quote of the Day
BQ on Facebook
BQ on Twitter
BQ on Pinterest
BQ on Google+
Art Quote Feed
Funny Quote Feed
Love Quote Feed
Nature Quote Feed