Risk mispricing - JP Morgan may have been a trading accident waiting to happen

Risk mispricing

Derivative positions are accumulating profits… while sweeping on to a catastrophy"JP Morgan May Be a Trading Accident Waiting To Happen" is what you may like to read on "Jesse’s cross road café blog". JPM’s two billion dollar loss on credit derivatives is making it more and more obvious that the quadrillon derivative positions outstanding are an accident waiting to happen. But how can risk models be so flawed that financial collapse is looming behind the corner? Well, just listen to John Butler, author of “The Golden Revolution” as interviewed by Jim Puplava on ‘Financial Sense’, especially the section from 21’30” to 28’30” dealing with risk taking. Continue reading at: https://gwyde.blogspot.com/2012/05/risk-mispricing.html