Page 21 - Risk Managers News Today : Breaking News, Live Updates & Top Stories | Vimarsana

wired. >> that's okay because there's lots of news this morning. >> up first this morning, heads about to roll. at jp morgan chase. according to bloomberg, the firm's entire london staff could be dismissed. the banking giant also expected to accept the resignation of this woman, ina drew. pulling down a salary of over $15 million a year. drew and two other company executives being held accountable for a stunning $2 billion loss. ceo jamie dimon doing damage control on sunday talk shows is. >> it was a stupid thing that, you know, we should never have done but we're still going to ear...

We're trying to reverse that draft rule and to make sure it carries out the intent of the law as written. >> let me bring in andrew ross sorkin. why is it americans should be taking note of this as the rest of wall street and washington is? >> the issue as to why we should really care, if jamie dimon, who's been exalted as one of the great -- as you said in your interview with him -- one of the great risk managers can make a mistake, we've got a problem because it means that other banks could also make a mistake, and they could make a mistake on a much grander scale. who gets left holding the ...

people who will buy it before it goes public. high net worth retail investors, you know, relatively rich people who trade often. and then there's everybody else, the average joe retail investor. that's likely most of you out there. starting with ned i want to go one at a time. ned, good to see you, my friend. we'll talk later about whether one should or shouldn't buy this. what do you think a retail investor who gets on to their trading platform at 9:00 on friday will be likely to pay for facebook when it opens? >> you know, you said $90 a share, i said a 50% premium. this is one of ...

The technical jargon. what jp morgan does, they loan money out just like any other commercial bank loans money out and sit back and hope that someone pays that loan back. what jp morgan does, they use hedging strategies. what happened specifically in this case, when they were readjusting the hedge which was put on by some smart, and good traders and really good risk managers, the economy in europe started to adjust a little bit and they actually were on the wrong side for a moment, and that's, that literally created this ripple effect within jp morgan, it's not going outside jp morgan, the eco...

collaborative fund, an early facebook investor. all right. so there are four kinds of investors viewing for a cut of this ipo. early stage investors like craig, they got involved a long time ago. institutional investors, the people who will buy it before it goes public, high net worth retail investors, relatively rich people who trade often, and then there's everybody else, the average joe retail investor. that's likely most of you out there. starting with ned i want to go one at a time. ned, good to see you, my friend. we'll talk later about whether one should or shouldn't buy this....