The Derivative Project

Candidate Romney is Not Criticizing President Obama’s SEC and CFTC’s Failure to Regulate Post Madoff: Is He Also Too Cozy with the Regulators?

The Obama Administration has had months to effect the necessary changes in our securities industry’s self-regulation following the Madoff and Stanford Ponzi schemes.  The Peregrine fraud reveals the failure of our regulatory systems. Candidate Romney is quick to chastise President Obama for things outside his control, while ignoring issues the…

The Second Loss of Farmers’ Segregated Funds Calls for Sweeping Regulatory Change

Reuters reported earlier this morning, “MF Global Redux Feared as Broker said Missing Another $220 Million”,  another significant loss of our nation’s farmers’ segregated funds.  Reuters states:  “Less than nine months after MF Global’s collapse sent shock waves through U.S. futures brokerages, news that more than one-half of customer funds…

Material Conflicts, Lack of Training, Lack of Transparency Are at Heart of Financial Crisis

Floyd Norris of the New York Times has a piece today on the Barclay’s “Libor scandal”, Banks Ability to Rig Libor Shows a Change is Needed.  The premise of the piece is excellent, however, Mr. Norris and The New York Times, continue to rely on a circle of sources for…

The Libor Scandal, Duck Tape and Today’s Global Financial Markets

The Libor Scandal, Barclays and the Bank of England Congress, we have an undeniable pattern here.  Unregulated markets are prone to manipulation to benefit individual traders or individual banks or brokerages. Self-regualtion is a sham. Regulators can only do so much. Greed must be controlled by public shame, criminal action,…