By Azam Ahmed – It was last November, and Boaz Weinstein, a wunderkind of the New York hedge fund world, had spied something strange across the Atlantic. In an obscure corner of the financial markets, prices seemed out of whack. It didn’t make sense.
At the time, traders in London had no real idea that JPMorgan was behind the trades that were skewing the market in credit derivatives. In fact, they weren’t even sure that it was a single bank or trader. But soon the City of London, Europe’s financial hub, was buzzing. Whoever the mysterious trader was, he or she kept selling derivatives intended to rise in value in the event that certain corporate bonds became riskier. The volume of trades was off the charts. Who could possibly sell so much? And, what if the trade reversed, as it inevitably would? more> http://tinyurl.com/8xcutkj
- Meet the Man on the Other Side of JPMorgan’s $2 Billion Bad Trade (nymag.com)
- Brand New Details On The Cardplaying Chessmaster Who Bagged JPMorgan’s London Whale (businessinsider.com)
- How Bruno Iksil lost $2 billion (blogs.reuters.com)
- The hedge funds that are profiting off JPMorgan’s bad trade (finance.fortune.cnn.com)
- Analysis: JPMorgan dips into cookie jar to offset “London Whale” losses, David Henry, Reuters
- Wall Street Compensation and JP Morgan: It’s Déjà Vu All Over Again, Jake Zamansky, Forbes