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Ubs Makes $2 Billion Trading Loss....


moonriver

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HOLA441
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Breaking news just in on Bloomberg... no link yet,

ticker reading...

"USB says trading loss of $2BLN.

UBS cites unauthorised trade in investment bank"

Presenters say this will affect trading today...

As a fairly average taxpayer, I'll be taking a couple of hundred quid out of my bank and sending it to them. You have to feel charitable towards these guys.

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HOLA448

If true it means they are out of control and are unfit to run a bank and hold other people's money, if not true it shows they are untrustworthy and are unfit to hold other people's money.

Hey but it is banking we are talking about - any of this shit went down in other sectors (even finance) and you would be shut down, or in jail / court for transgression of trading / business law.

Edited by OnlyMe
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Yes of course - the bank has lost billions because of a 'rogue trader' and not at all because they just did badly at the casino this quarter.

I'm sure if they withhold bonuses this year, that should more than repair any hole in the balance sheet caused by their bad investments, I mean 'rogue trader' .... <_< Ooops, no chance of that. Swiss taxpayers better get ready to put their hands in their pockets.

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HOLA4410

We are told two things...

1. That the banks make billions of profits each year (on average).

2. That the casino is a nil sum game.

They can't both be true can they?

If it were the latter then you would expect those reported trading profits to go hand in hand with large trading losses too but they seem to be reported as exceptional.

So is it because:

1. They are taking money out of the economy from the rest of us and distributing it as wages, taxes and dividends perhaps via the manipulated yield curve for instance.

2. Are they reliant on an inflation play?

Bear in mind that a lot of us continually feed money into pension funds, so there is a steady source of money coming in. Plus inflation, of course. As far as casinos go.. imagine that you went to play in a casino, and found that most of the other people belonged to one of a set of gambling syndicates, who had close links to the house. Would you feel confident of a fair game?

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The banks suffer from a 'genius syndrome', believing that a few geniuses can generate vast wealth.

As a result they have to pay huge bonuses.

As a result, they repeatedly fail at risk management because they let these 'geniuses' take unreasonable risks when they are doing well.

As a result, we all lose when we the savers, or the taxpayers pay for these 'geniuses' failures.

Someone always pays, but its not the geniuses.

Edited by EmpiricalBear
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The banks suffer from a 'genius syndrome', believing that a few geniuses can generate vast wealth.

As a result they have to pay huge bonuses.

As a result, they repeatedly fail at risk management because they let these 'geniuses' take unreasonable risks when they are doing well.

As a result, we all lose when we the savers, or the taxpayers pay for these 'geniuses' failures.

Someone always pays, but its not the geniuses who get bonuses even when they fail.

As far as I can tell, those in the City make little effort to distinguish between skill and luck (+- cheating and insider trading). Hell, most 'technical analysis' I've seen has about as much intellectual merit as tea-leaf reading, yet it is apparently taken seriously.

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As far as I can tell, those in the City make little effort to distinguish between skill and luck (+- cheating and insider trading). Hell, most 'technical analysis' I've seen has about as much intellectual merit as tea-leaf reading, yet it is apparently taken seriously.

I think the new $300m transatlantic cable that will save traders 6ms should tell everyone all they need to know about what is going on here.

There's certainly no technical analysis any human can use that fits over a time frame of milliseconds that is for sure.

It's not investing anymore (if ever it was) it's pure gambling, ideally with insider information.

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The rumours I am hearing is that this was a massive silver short gone wrong. Calling it a rogue trade to explain it away.

Time will tell if this is true or not.

As ive said this is why UBS must relocate to London immediately if not sooner, ill personally pay the air fair of every swiss employee if it helps, you cant keep things away from their spiritual home its barbaric in this day and age

Edited by Tamara De Lempicka
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We are told two things...

1. That the banks make billions of profits each year (on average).

2. That the casino is a nil sum game.

They can't both be true can they?

Have you checked on your pension lately?

Anyhow, basically inflation - the funds, on average don't keep up with the indices...the difference is their share.

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Have you checked on your pension lately?

Anyhow, basically inflation - the funds, on average don't keep up with the indices...the difference is their share.

Can remember Max Keiser once commenting on pensions; "The traders throw a load of trades down in the morning and at the end of the day shove the losers into the pension funds and keep the winners for themselves."

SIPP's are the only way, you can hand pick your own losers this way :lol:

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HOLA4421

We are told two things...

1. That the banks make billions of profits each year (on average).

2. That the casino is a nil sum game.

They can't both be true can they?

If it were the latter then you would expect those reported trading profits to go hand in hand with large trading losses too but they seem to be reported as exceptional.

So is it because:

1. They are taking money out of the economy from the rest of us and distributing it as wages, taxes and dividends perhaps via the manipulated yield curve for instance.

2. Are they reliant on an inflation play?

CDS is NOT a zero sum game.

Its a ZERO cover game, but a great fee generator.

money for nothing, but of course, they dont care as long as the fees roll in.

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10.15 City of London police have arrested a 31-year-old man over UBS's $2bn trading loss.

The man was arrested on "suspicion of fraud by abuse of position" at 3.30 am and remains in police custody. An investigation has been launched, the police said.

What about the other banksters and traders that lost hundreds of billions/trillions and wrecked the global economy in the process?

Any of them likely to be arrested any time soon?

<_<

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