Death of The Investment Bank

http://groupanlz.blogspot.com/2010/01/death-of-investment-bank.html

Nice post Batman!
I'm currently writing something about that too...
I had some discussions with Snapman about that at the very beginning of TLofT, almost one year ago and my point of view has not changed that much.
My belief since the very beginning of this crisis is the Investment Bank model as we used to know it is dead, despite of a surprising revival last year with indecent bonus paid as if nothing happened. My conviction was strong enough to make me deliberately leave a trading position that I needed to fight hard to get and that loads of guys dream of: to me the skills (and the money) are not there anymore. For now, my bet shows to be a winner but even a few months ago, it was not done....

Ultimaltely I think there will be two types of "banks": the ones that do banking: deposits, vanilla and flow products (swaps, fx, etc) and the ones that take more complex risks (a bit in a hedge fund way): structured products etc.

Another interesting point you raise here is the education about the causes of the crisis. It's funny because I will give this year some lectures precisely on the crisis and its causes at the University of Paris and I'll definitely share on TLofT my courses. Another good reason to join

Underwriting refers to the process that a large financial service
provider (bank, insurer, investment house) uses to assess the
eligibility of a customer to receive their products (equity capital,
insurance, mortgage or credit). The name derives from the Lloyd's of
London insurance market. Financial bankers, who would accept some of
the risk on a given venture (historically a sea voyage with associated
risks of shipwreck) in exchange for a premium, would literally write
their names under the risk information that was written on a Lloyd's
slip created for this purpose.
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palumohan wrote:

Underwriting refers to the process that a large financial service
provider (bank, insurer, investment house) uses to assess the
eligibility of a customer to receive their products (equity capital,
insurance, mortgage or credit). The name derives from the Lloyd's of
London insurance market. Financial bankers, who would accept some of
the risk on a given venture (historically a sea voyage with associated
risks of shipwreck) in exchange for a premium, would literally write
their names under the risk information that was written on a Lloyd's
slip created for this purpose.
=======================
SEO UK | Cheap SEO

Welcome to TLOT...thanks for the feedback.