In my opinion, what is really being missed is the fact that Blodget still even works for ML. They could have fired him. It would not be the first time they have fired an analyst.
Despite the "running for cover" slant that the news put on the ML settlement story,
dailynews.yahoo.com
...it's just a big yawn at ML.
I suspect few people outside the securities industry would bother to calculate the reward/risk ratio of Henry Blodget's valuation models.
The whole thing is just business as usual. ML gave up $400,000.00 to settle that suit, and in the last 3 or 4 years has picked up...how much?
ML defends Blodget and his insane antics on national television. Why? Why did they hire him away in the first place? Henry has ruined many lives, but ML would be toast if they admitted it.
Henry, and the rest of them, are just tools that helped make a very, very, very, very large amount of money for the firms. Henry might think he makes sense, but I guarantee that the guy that signs his check knows what is really going on. Henry doesn't matter. All that matters is money. If ML actually cared about their investors, they would act like it. All you have to do is watch what they do, not what they say. And they have been acting the same way for a very long time.
Who do you think sold at the top of the bubble? Somebody did, or the bubble would still be bubbling. <G> Who shorted the market on the way down? Somebody did.
It reminds me of my favorite Investment Banker tag line - "We make money the old fashioned way...we earn it." |
