March, 2009

A “Hedge Fund” Named AIG

Losing $60B in a Quarter? Don’t Try it At Home
Posted by Herb Addison, Leo M. Tilman, March 10th, 2009, 8:07am

Ben Bernanke is angry. As a “hedge fund attached to a stable insurance company,” AIG made “huge irresponsible bets” by exploiting the “gap in the regulatory system” and then took huge losses. This makes it a perfect case study.


Bank Nationalization

The Misnomer Du Jour
Posted by Herb Addison, Jon Leaf, Leo M. Tilman, March 2nd, 2009, 8:11am

As the government’s stake in Citigroup increased, fears of nationalization spread. Below we define the term “nationalization,” discuss differences between Citigroup, AIG, and Fannie Mae, and emphasize the need to preserve and enhance economic dynamism.
Financial Darwinism explores the origins, drivers, and implications of the ongoing tectonic financial shift. It then equips executives and investors with actionable approaches to creating lasting economic value amidst complexity and uncertainty.