The Derivative Project

“Investor Advocates”: More on the Wolves in Sheep’s Clothing

The Derivative Project, non-partisan, has been working to ensure the American economy is rebuilt after a devastating financial crisis, based on sound economic fundamentals, not speculative trading in credit default swaps on the demise of corporations and sovereign debt. The Derivative Project’s main focus is on protecting and enhancing American’s…

Why Hasn’t Financial Reform Happened? The “Investor Advocates” Work for Wall Street

National Public Radio had a report this afternoon on All Things Considered, “Investors Question Fairness of Facebook IPO” on the debacle of the Facebook IPO and the role of lead underwriter, Morgan Stanley. “From Morgan Stanley’s point of view this is a bad dream that is turning into a nightmare,…

Congress, Here is Memorial Day Required Reading and a Heads Up on Your Role in the Next Block Buster CDS Trade

A week ago, House Leader Boehner begin his positioning for a renewed fight over deficits pushing the U.S. into a technical default on its debt, a scenario that the International Swaps Dealer Association (ISDA) has said it would pay out on credit default swaps if the U.S. is in technical…

VaR and the Stupidity Defense: Here is Obama’s “Duh” List for Immediate Job Creation

Reuter’s columnist, Felix Salmon, alluded to the genius behind J.P. Morgan’s $2 billion trading loss in credit default swaps, “VaR”, that darn mathematical model that just seemed to fail the sophisticated risk managers again, as it did in the 2008 financial crisis.  Once again, Wall Street has an out all…

Raise Your Hand if You Think Your Retirement Adviser is Giving Advice to Help You Retire

Yes, every hand went up in the U.S.  Every retirement saver thinks that someone who is “registered” by FINRA or the SEC has been trained and vetted and is acting in their best interest when one provides them advice for their retirement savings. Attention retirement savers! There is a quiet…

Naked Capitalism and Frontline Debate: Congress, Public Media May Have Outlived its Usefulness

The Derivative Project was shocked with the absolute rewriting of history of the 2008 financial crisis by Frontline, in a PBS investigative report, Money, Power and Wall Street, that purports to tell the “story” of the global financial crisis.  Due to advocacy efforts on retail retirement plan fiduciary standards, time…