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Strategies & Market Trends : Waiting for the big Kahuna

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To: Mike M2 who wrote (17039)4/22/1998 9:24:00 AM
From: yard_man   of 94695
 
I think RD has a point that you can't look at the total amount of contracts to assess the danger, but on the other hand it doesn't take too many of the problems like you just mentioned to cause some serious problems. Key is internal checks and balances -- when they trust one or two guys that "know what they are doing" it could be another disaster in the making, ala Orange County.

If BK does come, some of these banks are going to wish they'd never heard of derivatives.
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