Posts Tagged ‘TBTF’

They're BAAAAACK: The CIT Takeover of OneWest Bank

They’re BAAAAACK: The CIT Takeover of OneWest Bank

By The Banker | Blog Posts, Wall Street

Wow. I mean. Just, wow. You gotta love these guys. Two phrases came to mind when I read the headline today about CIT Group taking over OneWest Bank. First: “History does not repeat itself, but it certainly does rhyme.” And Second: “Madness consists of doing the same thing over and over again and expecting a [&hellip

GS research on TBTF and Bond Yields

GS research on TBTF and Bond Yields

By The Banker | Blog Posts

I frequently complain in this space about the Too Big To Fail (TBTF) banks in the wake of the 2008 Crisis.  For me, TBTF is short-hand for the idea that large, private, for-profit enterprises – and by extension their employees and investors – enjoy an implicit government guaranty in the event of financial calamity.  While [&hellip

The Meaning of Jon Corzine

The Meaning of Jon Corzine

By The Banker | Blog Posts, Wall Street

With the announcement that MF Global Trustee (and former FBI chief) Louis J. Freeh will charge Jon Corzine for failing in his duty to oversee the company, the meaning of Jon Corzine shifts once again. Prior to this announcement, I understood the meaning of Corzine primarily through the following investment aphorism:[1] “One of the worst [&hellip

Four Reactions to the Election

Four Reactions to the Election

By The Banker | Blog Posts

Four quick thoughts now that the elections are over, from a recovering banker. 1. The equity indexes fell immediately at the open today, and remain down over 2% on the day.  Do not let any talking head from the financial-industrial-infotainment industry try to suggest that this is in response to Obama’s election.  Every trader on [&hellip

SIGTARP, Part IV – What Small Banks Are Going Under Next?

SIGTARP, Part IV – What Small Banks Are Going Under Next?

By The Banker | Blog Posts

Ok, so it’s no secret I’m pretty sweet on SIGTARP, the Norse God of Financial Accountability. There’s the pleasure of calling a fellow US Treasury colleague a liar. There’s the feistiness of a government official pointing out that through our failure to rein in TBTF banks, we’ve laid the groundwork for the next crisis There’s [&hellip