Indiana Grain Company, LLC


SIGN IN   |   REGISTER
Flash 9.0 required

Featured Blogs


Surrounding yourself with the right people...

Views: 27
Comments: 6


www.FuturesLine.com

Views: 12
Comments: 3


Cost of Doing Business...

Views: 12
Comments: 5


Toyota's Woes = Indiana Grain's Opportunity

Views: 8
Comments: 2


You Can Put Lipstick On A Pig, But...

Views: 8
Comments: 1


Post Comments


captcha

Image Verification

Comments:

Morgan Stanley Likes High Stakes Trading


Posted: 04/30/09

By: tomgrisafi

1179

There's an old journalism maxim about storytelling: People like to read about people, which is why Ken Lewis, Bank of America Corp.'s chief executive and ousted chairman, is grabbing attention and headlines this morning, while Morgan Stanley's talks to spin off its capital-intensive, risk-taking trading arm go largely ignored.

The impact of Mr. Lewis's transgressions are largely behind us -- the bank has absorbed the acquisitions of Countrywide Financial Corp. and Merrill Lynch & Co., and it is moving on. Whether shareholders wish to pull Mr. Lewis's chairman title holds little more than symbolic meaning.

Meanwhile, Morgan Stanley's speculative move could create another highly leveraged, cowboy trading operation that (in the eyes of many) will directly undermines efforts to repair and reform Wall Street.

Mr. Lewis' counterpart at Morgan Stanley, John Mack, has proposed jettisoning his bank's freewheeling, gambling trading division, which bears more resemblance to a hedge fund than a commercial bank.

Spinning off the company's Process Driven Trading unit could put it beyond regulators' jurisdiction and create yet more outsize risk for the company and the financial system.

Unlike Mr. Lewis, who added only to the misery of his shareholders, Mr. Mack could be compounding the problem by proposing a structure that other banks could easily adopt.

  • Post Morgan Stanley Likes High Stakes Trading to My Google
  • Post Morgan Stanley Likes High Stakes Trading to Bloglines
  • Post Morgan Stanley Likes High Stakes Trading to Delicious!
  • Post Morgan Stanley Likes High Stakes Trading to Stumble
  • Post Morgan Stanley Likes High Stakes Trading to Digg
  • Post Morgan Stanley Likes High Stakes Trading to Myspace
  • Post Morgan Stanley Likes High Stakes Trading to Facebook
  • Print
  • Share with a Friend

0 Comments

Be the first to comment on this blog!

Advertisers


Flash 9.0 required

QT Futures iPhone and iPod Application provides you with an instant snapshot of the commodities futures markets. Get immediate access to quotes, charts, and weather, as well as market news, trends and analysis.

 

Advertise your company today at IndianaGrain.com! Contact us now for more information.

Disclaimer