backed securities‚ about 10% of AIG’s total invested assets. As a result‚ they had a rather significant exposure to sub-prime related losses from their subsidiaries and mortgage related investments. A key factor was the difference between the credit default swap business as compared to their normal insurance business. For example‚ in home insurance‚ AIG would insure a large
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The main purpose of this report is to expose the findings and misconduct of disclosing important information of the JPMorgan Chase Whale Trades. This report explicitly details the negligence by the Chief Investment Office in misleading the Office of the Comptroller of Currency of their Synthetic Credit Portfolio. The author’s intention is to inform what went wrong with the trading in the derivatives market by JPMorgan Chase. The key question the author is addressing is why the CIO deviated from
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A CAPLIN WHITE PAPER Single-Dealer Platforms in aCAPLIN Cleared World BY PAUL www.caplin.com APRIL 2012 Far from signaling the end of singledealer platforms‚ the impending raft of new regulation in the US and Europe will create a new business environment in which the direct online channel is more important than ever for both banks and their clients. Paul Caplin‚ CEO of Caplin Systems Ltd. founded the company in 2000 Soon after the publication of the Dodd Frank act in the US‚ some early commentators
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Business and Economics Unit Guide AFW3841 Lending decisions SYNOPSIS: Lending environment; decision making and organization of lending‚ lending policies and controls; behavioural aspects of decision making and decision-makers; retail‚ commercial and corporate lending; business expansions; off balance sheet lending; loan management and problem loans. Mode of delivery: Workload: ON-CAMPUS at Sunway This is a six credit point unit with three hours class contact per week over 12 teaching weeks
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AIG was a very successful company and made billions of dollars on new investment instruments‚ which were so unique that didn’t even fall under any of the securities regulations. For two decades AIG was riding this wave of huge revenues‚ which did not require much in return. The earth under AIG started crashing down‚ once mortgage bubble burst happened. Significant decline in the mortgage prices caused AIG to lose over 62 billion of dollars at the very early stage of the financial crisis. The only
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It is common to argue that the financial crisis of 2007 – 2008 was the result of financial innovations like collateralized debt obligations (CDOs) and credit default swaps (CDSs)‚ created by greedy bankers who did not understand their own creations (e.g. McDowell 2011). Do you agree or disagree with this analysis? Give reasons for your answer. Greedy can be defined as having a strong desire to have more than you have already got. The bankers discussed in this piece‚ who were involved in the creation
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The Real Secret Behind Making Moonshine Ever wondered how to make alcohol within the walls of your own home? Everyone is familiar with moonshine but the real mystery is how it is made. The distillery process of moonshine consists of two main steps: fermentation and distillation. Moonshine can be a very dangerous process if one does not follow safety measures. One of the main dangers from moonshine is methanol poisoning‚ but that only occurs in large batch distillations. Moonshine is any distilled
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one same quality from birth. By looking at Wallace’s usage of “Default Setting”‚ we can see that their is ambiguous meaning but chiefly it is referred to as a quality that people are cursed with‚ which most readers don’t see; this is important because Wallace speaks on the notion that people are selfish and don’t consider how others feel‚ and those qualities are considered to be the “Default Setting.” Wallace is first seen using “Default Setting” in his third paragraph. To this point in the speech
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Script: Proxy Server: Proxy Bypass list: | info | This computer has the following default gateway entry(ies): 192.168.1.1 | info | This computer has the following IP address(es): 192.168.1.144 | info | The default gateway is in the same subnet as this computer | info | The default gateway entry is a valid unicast address | info | The default gateway address was resolved via ARP in 1 try(ies) | info | The default gateway was reached via ICMP Ping in 1 try(ies) | warn | Hostname www.microsoft
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Loans Calculating the Return on a Loan • The Contractually Promised Return on a Loan • The Expected Return on a Loan Retail versus Wholesale Credit Decisions • Retail • Wholesale Measurement of Credit Risk Default Risk Models • Qualitative Models • Quantitative Models Summary Appendix 11A: Credit Analysis (www.mhhe.com/saunders7e) Appendix 11B: Black-Scholes Option Pricing Model (www.mhhe.com/saunders7e) Solutions for End-of-Chapter
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