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Since Morgan Stanley CEO Thinks Greg Smith's Op-Ed Was "Unfair", Here Are Some Questions

Tyler Durden's picture




 

Where does one even possibly start with this: from the WSJ: "Morgan Stanley’s CEO James Gorman this morning criticized an op-ed written by a former Goldman Sachs Group employee, saying “I didn’t think it was fair.” Gorman, at a breakfast sponsored by Fortune Magazine in New York, said that he told the operating committee of his New York firm, not to try to take advantage of the criticisms of Goldman in the op-ed, which described a toxic culture in which profits come before client service."...“I don’t really care what one employee said,” said Gorman, who became CEO of Morgan Stanley at the beginning of 2010. “At any point, someone is unhappy… To pick a random employee, I don’t think it’s fair. I don’t think its balanced.” That's funny - Gorman is only the second CEO after Jamie Dimon to "not take advantage of the criticisms" and we wonder why? Could it have something to do with the fact that every single bank is in the same position, and both Dimon and Gorman know very they are both just one disgruntled employee away from having the truth about their own sinking ships exposed to the world? Could it also be that both of them also realize that with Wall Street compensation packages now effectively downshifted for good, that the incidence of precisely such "whistleblowing" Op-Eds will soar astronomically? Finally, could Mr. Gorman perhaps comment on the allegations of yet another whistleblower who emerged right here on Zero Hedge, who alleges that it was none other than Morgan Stanley who influenced the CBO in its "conclusions" over the implications of the robosigning scandal? We would be delighted in posting Mr. Gorman's view. Alternatively, we would be just as delighted in posting the views of his employees, whether happy or unhappy. Or at least those employees who are not fired in retribution for emailing Zero Hedge... wink wink Morgan Stanely - and now you know that we know that you know that we know.

The farce continues:

Talking about the recent government stress test, Gorman said they were tougher than the 2009 tests and that what mattered most is that Morgan Stanley passed. “We’re in much better shape than the market is giving us credit for,” he added.

Wait, does Morgan Stanley's "European second derivative" stability maybe have something to do with the $1.3 trillion liquidity injection by the ECB in the past 3 months?  No? Ok, never mind.

J.P. Morgan CEO Jamie Dimon also told his staff not to “take advantage” of any problems Goldman was facing this week because of the op-ed.

 

We respect our competitors, and our focus should be on doing the best we can to continually strengthen our own standards,” Dimon had written.

Etc.

 

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Fri, 03/16/2012 - 11:10 | 2261758 sIewie the pi-rat
sIewie the pi-rat's picture

morgan fucking stanley

u bags of schum along with your effing namesakes exist by livin of the flesh of half the seniors in america

Fri, 03/16/2012 - 11:11 | 2261776 Pladizow
Pladizow's picture

I think Wiki-Hedge is more appropriate then Zero-Leaks?

Fri, 03/16/2012 - 11:15 | 2261790 Leopold B. Scotch
Leopold B. Scotch's picture

JP Morgan has someone comming out on massive gold and silver manipulation.

http://comments.cftc.gov/PublicComments/ViewComment.aspx?id=57019&Search...

Any truth in this?

Comment for Public Information Collection 77 FR 8817

    View all comments for 77 FR 8817

    From: Z A N
    Organization(s):
    JPMorgan Chase

    Comment No: 57019
    Date: 3/14/2012

    Comment Text:

    Dear CFTC Staff,

    Hello, I am a current JPMorgan Chase employee. This is an open letter to all commissioners and regulators. I am emailing you today b/c I know of insider information that will be damning at best for JPMorgan Chase. I have decided to play the role of whistleblower b/c I no longer have faith and belief that what we are doing for society is bringing value to people. I am now under the opinion that we are actually putting hard working Americans unaware of what lays ahead at extreme market risk. This risk is unnecessary and will lead to wide-scale market collapse if not handled properly. With the release of Mr. Smith’s open letter to Goldman, I too would like to set the record straight for JPM as well. I have seen the disruptive behavior of superiors and no longer can say that I look up to employees at the ED/MD level here at JPM. Their smug exuberance and arrogance permeates the air just as pungently as rotting vegetables. They all know too well of the backdoor crony connections they share intimately with elected officials and with other institutions. It is apparent in everything they do, from the meager attempts to manipulate LIBOR, therefore controlling how almost all derivatives are priced to the inherit and fraudulent commodities manipulation. They too may have one day stood for something in the past in the client-employee relationship. Does anyone in today’s market really care about the protection of their client? From the ruthless and scandalous treatment of MF Global client asset funds to the excessive bonuses paid by companies with burgeoning liabilities. Yes, we at JPMorgan that are in the know are fearful of a cascading credit event being triggered in Greece as they have hidden derivatives in excess of $1 Trillion USD. We at JPMorgan own enough of these through counterparty risk and outright prop trading that our entire IB EDG space could be annihilated within a few short days. The last ten years has been market by inflexion point after inflexion point with the most notable coming in 2008 after the acquisition of Bear.

    I wish to remain anonymous as of now as fear of termination mounts from what I am about to reveal. Robert Gottlieb is not my real name; however he is a trader that is involved in a lawsuit for manipulative trading while working with JPMorgan Chase. He was acquired during our Bear Stearns acquisition and is known to be the notorious person shorting in the silver future market from his trading space, along with Blythe Masters, his IB Global boss. However, with that said, we are manipulating the silver futures market and playing a smaller (but still massively manipulative) role in manipulating the gold futures market. We have a little over a 25% (give or take a percentage) position in the short market for silver futures and by your definition this denotes a larger position than for speculative purposes or for hedging and is beyond the line of manipulation.

    On a side note, I do not work directly with accounts that would have been directly impacted by the MF Global fiasco but I have heard through other colleagues that we have involvement in the hiding of client assets from MF Global. This is another fraudulent effort on our part and constitutes theft. I urge you to forward that part of the investigation on to the respective authorities.

    There is something else that you may find strange. During month-end December, we were all told by our managers that this was going to be a dismal year in terms of earnings and that we should not expect any bonuses or pay raises. Then come mid-late January it is made known that everyone received a pay raise and/or bonus, which is interesting b/c just a few weeks ago we were told that this was not likely and expected to be paid nothing in addition to base salary. January is right around the time we started increasing our short positions quite significantly again and this most recent crash in gold and silver during Bernanke's speech on February 29th is of notable importance, as we along with 4 other major institutions, orchestrated the violent $100 drop in Gold and subsequent drops in silver.

    As regulators of the free people of this country, I ask you to uphold the most important job in the world right now. That job is judge and overseer of all that is justice in the most sensitive of commodity markets. There are many middle-income people that invest in the physical assets of silver, gold, as well as mining stocks that are being financially impacted in a negative way b/c of our unscrupulous shorts in the precious metals commodity sector. If you read the COT with intent you will find that commercials (even though we have no business being in the commercial sector, which should be reserved for companies that truly produce the metal) are net short by a long shot in not only silver, but gold.

    It is rather surprising that what should be well known liabilities on our balance sheet have not erupted into wider scale scrutinization. I call all honest and courageous JPMorgan employees to step up and fight the cronyism and wide-scale manipulation by reporting the truth. We are only helping reality come to light therefore allowing a real valuation of our banking industry which will give investors a chance to properly adjust without being totally wiped out. I will be contacting a lawyer shortly about this matter, as I believe no other whistleblower at JPMorgan has come forward yet. Our deepest secrets lie within the hands of honest employees and can be revealed through honest regulators that are willing to take a look inside one of America's best kept secrets. Please do not allow this to turn into another Enron.

    Kind Regards,
    -The 1st Whistleblower of Many

Fri, 03/16/2012 - 11:19 | 2261817 mayhem_korner
mayhem_korner's picture

 

 

 

Yesterday's "news."

Fri, 03/16/2012 - 11:22 | 2261834 redpill
redpill's picture

It's pretty telling that all the big shops are in such a rush to circle the wagons over one little op-ed shows that it's one big "fuck the little guy" club and they are partners more than competitors.

Fri, 03/16/2012 - 11:29 | 2261857 Conrad Murray
Conrad Murray's picture

That was my thought while reading this. They are VERY worried this will spread to the masses. Anyone with a fiduciary responsibility should be asked if they use the Squid's Muppet Making services, and summarily fired if so.

Fri, 03/16/2012 - 11:43 | 2261902 Zero Govt
Zero Govt's picture

i agree they're circling the wagons ...will they be able to tighten the circle when their guts are so big?

...just a bit 'fragile' on the issue of fleecing clients after MF'ing Global

...unsurprised as it could have been any one them as they're all crooks hands in the cookie jar chumping on their favourite hypothacated chocolate banker bonanza bonus flavour ..simply irresistible aren't they boys?

Never a lesson learned in banking

Fri, 03/16/2012 - 12:06 | 2262056 JPM Hater001
JPM Hater001's picture

"Or at least those employees who are not fired in retribution for emailing Zero Hedge... wink wink Morgan Stanely - and now you know that we know that you know that we know."

Ball - Z

Thumbs up...now put your balls away.

Fri, 03/16/2012 - 12:34 | 2262162 youngman
youngman's picture

If you heard what JimCramer said yesterday...it would show you that the little fraternity is exactly that..a closed club to us mortals...I think there is a religious aspect to it too....

Fri, 03/16/2012 - 13:05 | 2262289 JPM Hater001
JPM Hater001's picture

Yeah, Cramer has got the be the Elites Joe Pesche.

Sat, 03/17/2012 - 11:57 | 2264891 narapoiddyslexia
narapoiddyslexia's picture

I don't think they're too worried.

http://www.cnbc.com/id/46737419

Fri, 03/16/2012 - 12:04 | 2262044 Debt-Is-Not-Money
Debt-Is-Not-Money's picture

The "Arab Spring" was supposedly started when a single street vendor (Mohamed Bouazizi) totally frustrated and pissed of with the bureaucratic obstacles doused himself with gasoline and immolated himself in the street. Obviously all the other vendors had jumped through the same hoops but it was Mohamad that took action. One person set off the Arab Spring. Could it be that the "Big Banks" view Greg Smith as their Mohamed?

Fri, 03/16/2012 - 13:09 | 2262314 Moe Howard
Moe Howard's picture

To make your analogy correct, the dude who burned himself up would have to have been the kings brother in law.

This dude Smith is one of them, really. An insider.

Fri, 03/16/2012 - 13:49 | 2262544 spekulatn
spekulatn's picture

Some would argue the "Arab Spring" was/is something else entirely.

 

http://www.thedailybell.com/2932/Arab-Spring

 

 

 

 

Fri, 03/16/2012 - 15:26 | 2262988 dirtbagger
dirtbagger's picture

Gas is over $4.00 a gallon, won't see many immolaters in the US.

Fri, 03/16/2012 - 17:20 | 2263440 Moe Howard
Moe Howard's picture

Drown in milk, one wacky bernake buck cheaper a gallon. For premium.

I mean regular milk full fat or whole.

Fri, 03/16/2012 - 13:47 | 2262531 Pegasus Muse
Pegasus Muse's picture
As the cesspool called Wall Street drains some of the more stinky turds start to surface.
Fri, 03/16/2012 - 11:22 | 2261830 Pladizow
Pladizow's picture

I picture this being written while wearing one of those Vindeta masks.

Fri, 03/16/2012 - 11:46 | 2261936 Robot Trader's ...
Robot Trader's brother's picture

http://silverdoctors.blogspot.com/                                                                                                                     
"...Last night, the authenticity was all but confirmed when the whistle blower disseminated JP Morgue internal documents to SilverDoctors, Zerohedge, GATA, and over 20 other websites. Zerohedge published one of the internal documents last night, and removed the document a short time later. Zerohedge's legal team is likely in a much better position to take on a legal battle resulting from publication of such documents.  We plan to allow Zerohedge and GATA to run with the ball from here..."

Tyler, this mean the Morgue person is legit..??

Fri, 03/16/2012 - 13:10 | 2262327 Moe Howard
Moe Howard's picture

Yep he just must have gone to harvard bs before they taught spell checking.

Fri, 03/16/2012 - 11:51 | 2261967 jayman21
jayman21's picture

How did you find this?

How long before is disappears?

Fri, 03/16/2012 - 11:59 | 2262015 IO_Psychic_TV
IO_Psychic_TV's picture

And now gone...  

Fri, 03/16/2012 - 12:12 | 2262080 Mary Wilbur
Mary Wilbur's picture

The link is gone.

Fri, 03/16/2012 - 11:21 | 2261826 nope-1004
nope-1004's picture

Free speech is unfair.  I prefer cover-ups to keep my wallet padded.  Now I'm taking my shovel and pail and going to another sandbox.

-James Gorman

Fri, 03/16/2012 - 11:17 | 2261807 Gully Foyle
Gully Foyle's picture

sIewie the pi-rat

I'm in NY. I tried to buy a 15 inch knife from Amazon, and they would not ship it.

But last week I bought a FUCKING SWORD!

And a large Kukri.


Fri, 03/16/2012 - 12:01 | 2262024 Kaiser Sousa
Kaiser Sousa's picture

Bankers must die....

Fri, 03/16/2012 - 13:26 | 2262404 RollinsArline3
RollinsArline3's picture

my roomate's mom makes $83/hr on the computer. She has been fired from work for 9 months but last month her pay check was $18339 just working on the computer for a few hours. Read more on this web site .....  http://bit.ly/FPPP3j

Fri, 03/16/2012 - 17:25 | 2263454 Moe Howard
Moe Howard's picture

Nobody wants to see that ole beeach on the webcam, you would projectile vomit when she pulled her shirt off. Stop spamming loser.

Fri, 03/16/2012 - 14:48 | 2262789 km4
km4's picture

Mayor Bloomberg Visits Goldman Sachs to Show his Support After Whistleblower Revelations : http://bit.ly/w1PxTH

Fri, 03/16/2012 - 11:09 | 2261767 misterc
misterc's picture

Listen up, muppets

Fri, 03/16/2012 - 12:05 | 2262047 Arthor Bearing
Arthor Bearing's picture

Unfair is dumping the shitty mortgages youcreated into a pension fund and running with the money

Fri, 03/16/2012 - 11:09 | 2261770 bugs_
bugs_'s picture

one scoop of drama and two scoops of ....awwwwwwwwwww

Fri, 03/16/2012 - 11:11 | 2261771 Acet
Acet's picture

The fox, having been outed as systematically taking chickens from the chicken-coop, complained that one black sheep does not a flock make.

(or maybe I'm just mixing up my methaphors here)

(on second thought, I think this makes as much sense as what Morgan Stanley's CEO said)

 

Fri, 03/16/2012 - 11:14 | 2261794 Wakanda
Wakanda's picture

It's just about FU'ed enough to make perfect sense.

Fri, 03/16/2012 - 11:10 | 2261772 PicassoInActions
PicassoInActions's picture

unless some1 will call a global cleaning teams- nothing will change.

 

Fri, 03/16/2012 - 11:11 | 2261777 Wakanda
Wakanda's picture

"and now you know that we know that you know that we know."

Now I know.

Thanks Tyler!

Fri, 03/16/2012 - 11:11 | 2261779 malikai
malikai's picture

wink wink Morgan Stanely - and now you know that we know that you know that we know.

Fuckin loled.

Fri, 03/16/2012 - 11:18 | 2261787 Mercury
Mercury's picture

I still fail to see how fretting over Goldman's business model and customer/client service is a worthy concern. Shouldn't they sink or swim in this regard on their own?

There are larger, systemic issues involving TBTF banks that are more important...like whether or not GS/MS are actually doing anything illegal or are a little too deep in bed with the government. 

Fri, 03/16/2012 - 11:21 | 2261829 gmrpeabody
gmrpeabody's picture

Well..., gotta start somewhere.

Need to examine all the chinks in the armor we find.

Fri, 03/16/2012 - 12:47 | 2262215 Debt-Is-Not-Money
Debt-Is-Not-Money's picture

"chinks"

Careful with the racial epithets! LOL

Fri, 03/16/2012 - 11:13 | 2261788 Olympia
Olympia's picture

...Simple things happening all over Europe in exactly the same way. It was the same loansharking Goldman Sachs, that was financing the European Investment Bank and “connived" with Simitis the fiscal data of Greece, so that ECB would be justified to buy Greek bonds using Goldman Sachs money, so that Bobolas could undertake the overcost public works ...Bobolas, who was a Goldman Sachs’ partner ...it's a self-serving behavior ...and who pays for it? Fools of course! After the fall of the Berlin Wall, the loan sharks’ “trashes” have “flooded” Europe.

This was the whole trick! Simple, quick and with minimum risk. They corrupted the political leaders of the European Union and they “flattened” everything. All these beasts –Pronti or Barroso- under the auspices of the loan sharks took important posts in the European mechanisms. Using the cheap borrowed dollars of Germany, they “printed” the cheap ECB Euro in Frankfurt. Using these cheap Euro they grasped the expensive Euro of the countries and turned it into debts. They eliminated the Euro securities and all that was left in the market was the Euro bonds. Euro value was stored in the ECB vaults and the countries were left with debts. That was the “game”!

Global Debt Crisis

http://eamb-ydrohoos.blogspot.com/2012/01/global-debt-crisis.html

Taken from a MUST read article by Panagiotis Traianou.

Fri, 03/16/2012 - 11:21 | 2261823 Gully Foyle
Gully Foyle's picture

Olympia

"They corrupted the political leaders of the European Union"

You can not corrupt an honest man.

 

Fri, 03/16/2012 - 11:24 | 2261839 Olympia
Olympia's picture

The point is that there are not many honest men in this system.

Fri, 03/16/2012 - 11:34 | 2261881 WonderDawg
WonderDawg's picture

You damn sure don't make it anywhere in the system by being honest. If you're not a sociopath, your upward mobility is severly limited.

Fri, 03/16/2012 - 11:48 | 2261944 Bob
Bob's picture

Sad reality.  I recently rewatched Lord of the Rings and was struck by its aptness . . . except there is no Frodo in our story.  It's all Mordor, all the time. 

Too bad there are no longer any honest cops. 

Fri, 03/16/2012 - 12:24 | 2262117 AccreditedEYE
AccreditedEYE's picture

It's all Mordor, all the time.

So, you got a problem with that... Bob?

Fri, 03/16/2012 - 12:53 | 2262226 Carl Spackler
Carl Spackler's picture

If you're not a sociopath, your upward mobility is severly limited.

 

At least in your limited time on Earth.

May be a wholly different reality after the soul leaves the body following the last heartbeat.

I am betting that the Blankfeins and Gormans of the world are not investors in insurance for their souls. But I am just a lowly Christian.

Fri, 03/16/2012 - 13:12 | 2262336 Moe Howard
Moe Howard's picture

Shit floats. If you are floating, hope you are happy with yourself. $1000 hookers may have aids.

Fri, 03/16/2012 - 11:13 | 2261789 Downtoolong
Downtoolong's picture

Was Tarp, TALF, the AIG Bailout and subsequent continuation of bonus payouts to some of the obviously guilty fair? Are zero (negative real) interest rates on savings and base investments fair? And so on, and so on.

I think the folks on Wall Street are doing a good job of teaching us everything about fairness we need to know.

Fri, 03/16/2012 - 11:14 | 2261792 azzhatter
azzhatter's picture

We are really very nice people on Wall Street. And anyways we're rich so fuck you

Fri, 03/16/2012 - 11:46 | 2261938 Zero Govt
Zero Govt's picture

where there's smoke (PR) there's fire

Morgan Stanley with the smokescreen, probably BoA along soon with the whitewash

Fri, 03/16/2012 - 11:15 | 2261798 Ralph Spoilsport
Ralph Spoilsport's picture

That's some pretty weak shit there Gorman.

Fri, 03/16/2012 - 11:15 | 2261799 dick cheneys ghost
dick cheneys ghost's picture

Either you are with us or you are with the Banksters........

 

http://www.youtube.com/watch?v=cpPABLW6F_A

Fri, 03/16/2012 - 11:18 | 2261809 SillySalesmanQu...
SillySalesmanQuestion's picture

Since when have banksters cared about being "fair"...sniff, sniff.

Fri, 03/16/2012 - 11:18 | 2261814 digalert
digalert's picture

Mr. Gorman, Would you like your handcuffs and leg shackles bronze or sliver plated? Sorry, but our gold plated restraint accessories are reserved for one on the run Blankfein.

Fri, 03/16/2012 - 11:19 | 2261819 Zeff
Zeff's picture

Howie Hubler, anyone?

Fri, 03/16/2012 - 11:19 | 2261820 smokeandseeror
smokeandseeror's picture

Well, it was interesting to observe GS selling two billion CDN at the bell this morning to CIBC on the TSX.  They were the number one seller by a factor of ten of the top 30 stocks on the TSX.  The volumes were what is normally done the entire day in the market.  Big client fallout - moving from GS to CIBC perhaps?

Fri, 03/16/2012 - 11:21 | 2261825 mayhem_korner
mayhem_korner's picture

 

 

Is anyone starting to feel just a little bit bad for these bankers?  Anybody?  Bueller?

/sarc

Fri, 03/16/2012 - 11:24 | 2261842 Dr. Engali
Dr. Engali's picture

I feel bad for their families that have to deal with these blood suckers.

Fri, 03/16/2012 - 11:53 | 2261948 Zero Govt
Zero Govt's picture

these sociopaths don't have families, they have 'arrangements' with the other half to look, act and create the illusion of a loving wife and family

even the pet Beagle is trained to fake warm puppy dog eyes (or it's toast)

Fri, 03/16/2012 - 11:23 | 2261835 Dr. Engali
Dr. Engali's picture

I made good money shorting Lehman and Merrill. I look forward to the returns on shorting MS.

Fri, 03/16/2012 - 11:25 | 2261841 uno
uno's picture

 

from http://jessescrossroadscafe.blogspot.com/2012/03/one-half-of-italys-new-sales-tax.html

 

One Half of Italy's New Sales Tax Receipts Go Directly to Morgan Stanley in New York Complex derivatives deal from the 1990s backfires on Italy.

Bankers win.  The people pay.

One of my less scrupulous bosses once told me, "The way I like to win a race is to punch the other guy in the stomach and then yell, 'Let's race.'"

And I replied, "Well that may be all well and good, but if the guy you punch is Italian or Greek, I would not stop running at the finish line."

He was a Irish lad,  who having enjoyed a temporary run of luck, was left terribly over his head pretty much in everything.  And as you might suspect, he ended badly.

No wonder the American derivatives dealers are leaving Europe.   They are probably just a few steps ahead of the pitchforks and torches.

The bad news is that they are coming home.

Bloomberg
Italy Said to Pay Morgan Stanley $3.4 Billion
By Nicholas Dunbar and Elisa Martinuzzi
Mar 16, 2012 10:10 AM ET 

When Morgan Stanley (MS) said in January it had cut its “net exposure” to Italy by $3.4 billion, it didn’t tell investors that the nation paid that entire amount to the bank to exit a bet on interest rates

Italy, the second-most indebted nation in the European Union, paid the money to unwind derivative contracts from the 1990s that had backfired, said a person with direct knowledge of the Treasury’s payment. It was cheaper for Italy to cancel the transactions rather than to renew, said the person, who declined to be identified because the terms were private. 

The cost, equal to half the amount to be raised by Italy’s sales tax increase this year, underscores the risk derivatives countries use to reduce borrowing costs and guard against swings in interest rates and currencies can sour and generate losses for taxpayers. Italy, with record debt of $2.5 trillion, has lost more than $31 billion on its derivatives at current market values, according to data compiled by the Bloomberg Brief Risk newsletter from regulatory filings. 

These losses demonstrate the speculative nature of these deals and the supremacy of finance over government,” said Italian senator Elio Lannutti, chairman of the consumer group Adusbef. 

The transaction may prompt regulators to push for greater transparency and regulation of how governments use derivatives, said the head of the European Parliament panel that deals with market rules.

“This latest revelation shows that we need to know a lot more,” Sharon Bowles, chairwoman of the economic and monetary affairs committee, said in an interview today. “I’m reluctant to have quite as many exemptions for central banks and countries” from transaction-reporting rules, she said. 

Morgan Stanley said in a Jan. 19 filing with the U.S. Securities and Exchange Commission that it “executed certain derivatives restructuring amendments which settled on January 3, 2012” and reduced its Italian exposure by $3.4 billion. 

Mary Claire Delaney, a spokeswoman for the New York-based firm, declined to comment further. Officials at the Italian treasury in Rome declined to comment on the contracts...

 

Fri, 03/16/2012 - 11:25 | 2261845 jm
jm's picture

Investment banking has always been about trade execution.  Relationships don't matter anymore, because you can't count on someone making a market for you.  Serving your clients best interest means good trade execution.  Math, tech, and algos dominate trade execution.  Clients want execution and they will go where they can get it.  Nobody cares about relationships anymore on the bid or the ask.  I think that all the ink spilled on the issue is more due to "relationship people" being marginalized within firm.

"Relationships"-- blue blood or otherwise don't get it done anymore.  If you aren't making consistent money you are out.  This makes the ability to write code that pick up tiny little arbs on index and ETF delta more important.   

It is true that people make money selling complicated toxic sludge to that are people literally playing with other's money-- buying 100 year credit default swaps still sticks in my mind.  And nobody will say this is right.  But not everyone does it, and sludge-selling is part and parcel of many occupations like some lawyers and some salesmen.  Politicians do nothing but play with other people's money every day.   

Fri, 03/16/2012 - 12:08 | 2262061 Miss Expectations
Miss Expectations's picture

If you aren't making consistent money you are out. 

So, I would propose that rather than targeting baby boomers who reached maturity in 1980  (young Tyler), I would suggest that the target population should be the sociopathic alpha performers who remain at the investment banks in 2013.

Fri, 03/16/2012 - 12:15 | 2262091 jm
jm's picture

I don't know what you mena by "target opoluation".  It is not right to sell toxic sludge to anybody.  Ironically, it is often the relationship guys--sell-side for institutional clients that are the ones' involved.  Buy-siders have nothing to do with this.

And honestly, it is very easy to identify "toxic sludge" in hindsight.  But before it blows up, it is giving clients the high-yeild product they asked for.  And they'll get it because they want it, not because it was pushed on them.

Some of the anger and accusatiuons are fair, but some of it is simply holding bankers to a standard that implicitly requires of them the ability to perfectly predict the future. 

Sat, 03/17/2012 - 10:58 | 2264776 ZeroPower
ZeroPower's picture

Hey jm

Lotsa haters on here for those of us in the industry... youre spot on about relationships not mattering anymore across the field. I can still think of only 1 or 2 places where relationships are key... i.e. brokers to traders: the former sending us lunch whenever we want so that we send big fills to them (though ICAP wont know if i send it to BGC either!); and then the sydicate desk, with the higher up relationships between MDs and some CFO/CRO at a corporate looking to get financing done.

Considering most here dont even know the difference between the buy and sell side, its basically moot to argue the (valid) point that you made.

Fri, 03/16/2012 - 13:08 | 2262297 Carl Spackler
Carl Spackler's picture

Serving your clients best interest means good trade execution.

Ah, JM, "good trade execution" means different things to the parties involved. 

To the dealer, this now means squeezing maximum pricing differential out of your muppets, while simultaneously mis-representing that you are acting in the muppets best interest.

To the muppets, this means getting told /re-assured over and over that you are getting the best price anyone could give, getting some additional high-profile golf or sporting event tickets, and being repetitively told that you, Mr. Muppet, are a finance genius and should be working at our Wall Street firm because we should have thought of that trade (even though, in reality, we will never tell you that you don't stand a snowball's chance in Hades of getting through the first recruitment filter our firm has).

Fri, 03/16/2012 - 11:27 | 2261852 Dermasolarapate...
Dermasolarapaterraphatrima's picture

Interesting to hear someone talk who makes 3,000 times the average worker.

Fri, 03/16/2012 - 11:28 | 2261855 ebworthen
ebworthen's picture

Robo-signing, robo-trading; is it any wonder we have psychopaths in charge in Wall Street and Washington?

Fri, 03/16/2012 - 11:30 | 2261859 Seize Mars
Seize Mars's picture

"scrutinization?"

What the heck is that?

Fri, 03/16/2012 - 11:51 | 2261966 pepperspray
pepperspray's picture

I'm told its the theory of vaporizing rehypothication

Fri, 03/16/2012 - 11:33 | 2261872 MFL8240
MFL8240's picture

What the hell business is it of MS what is written about the courrpt Jewish empire?

Fri, 03/16/2012 - 12:30 | 2262144 SMG
SMG's picture

Luciferian Illuminati Empire, not Jewish.

Fri, 03/16/2012 - 11:33 | 2261875 Comay Mierda
Comay Mierda's picture

im going out this weekend and buying 500 pounds of popcorn. crazy thing is i'll prob go through it all by June.

Fri, 03/16/2012 - 11:35 | 2261884 hangemhigh77
hangemhigh77's picture

Yeah, stop picking on the bankers.  Without bankers who would print our money so we can be enslaved?  Are you crazy? Everybody write this great banker humanitarian a nice letter explaining how you will grease the rope that hangs him so he doesn't get chaffed.  

Fri, 03/16/2012 - 11:36 | 2261888 williambanzai7
williambanzai7's picture

There most assuredly are some good people working in those banks. But everyone of those fuckers at the top of their TBTF ships is a lying stinking skunk hiding in the tall grass.

And I am very glad to be associated with the people on this website instead of the likes of them.

Period

Fri, 03/16/2012 - 11:40 | 2261908 swiss chick
swiss chick's picture

Amen...

Fri, 03/16/2012 - 11:59 | 2262016 jm
jm's picture

Why did you make such a blanket statement like this? 

There are neo-Nazis, paranoid people with doomsday convictions, and just completely misanthropic people that hate everyone, and you are very glad to be associated with.  There are also plenty of PMs that read this site. 

I'm sorry if I offended you.  I'm not saying that bankers are awesome, but the collective mentality needs some perspective.

Fri, 03/16/2012 - 12:30 | 2262142 GeneMarchbanks
GeneMarchbanks's picture

Your usual apologist bullshit. You certainly don't provide 'perspective' so please don't deceive yourself and others.

Fri, 03/16/2012 - 12:57 | 2262260 jm
jm's picture

What made this site so special was good market intell that came form poeple that work the markets.  All the hate is killing it. People with knowledge hesitate to feed it anymore.       

I bet even you can feel the drop-off.

Fri, 03/16/2012 - 13:05 | 2262291 Moe Howard
Moe Howard's picture

What did "they" say about blankets that pissed you off so much? I can't find it.

Want some market Intel mofo? Should you purchase some Rio Tinto [Rothschild] mining stock?

My magic 8 ball says: Reply hazy. Ask again later.

Disclaimer: Supernatural advice from beyond the mortal plain should not be considered sound investment advice, you should do your own due diligence before investing in any financial product. BTFD.

It's later, so I asked again: Without a doubt.

See, a little investment advice that you may or may not act on free of charge or liability. No blankets have been harmed in the production of this advice.

Fri, 03/16/2012 - 13:08 | 2262306 GeneMarchbanks
GeneMarchbanks's picture

I've been around from almost the beginning. I read, even your stuff from early on. A drop-off is palpable but so is the belief in 'markets'. Is it possible that more and more people see a basic inconsistency of the supposed 'fairness' of the financial system and just lash out? Something to meditate on next time you're seeking refuge from your own fractured and rather obvious  self-delusion.

Fri, 03/16/2012 - 13:15 | 2262343 Carl Spackler
Carl Spackler's picture

Interestingly, jm, your attempts at rebuttal are characterizing you as the poster child for the MUPPETS.

If I were in a room of full of traders looking to transact. I would first look to identify you.

Fri, 03/16/2012 - 13:23 | 2262386 Tyler Durden
Tyler Durden's picture

We apologize, but can you please advise when you hacked our inbox and phones? Because we were curious just how it is you know what "market intell" comes and goes through Zero Hedge at any given time?

Also, for such a intelligent person (at least in your opinion), you seem to fail to grasp that for every comment on ZH, there are about 1000 people who read an article in total silence. Because even our "dumber" readers appear to have grasped that.

Fri, 03/16/2012 - 14:24 | 2262683 jm
jm's picture

I once sent something to one of the Tylers about some awesome news of mine.  I said "I couldn't have done it without you."  I meant that, and still do.  Hope that Tyler isn't taking offense.

When the site first began, people would post "Tyler, you are full full of crap, no good, blah, blah, blah."  And the Tyler I know was cool with it, because he didn't go off.  They had a different view, and that was cool.  It was taken as meant.

I care about this site, the ideal of this site.  I wouldn't post comments that do nothing but collect junks and abuse if I didn't.  But look at the comments on this post.  I used to read the comments first, because they laid out the pros and cons of the subbject matter.  I scan through this one and I read about hanging bankers and killing bankers, and other colorful commentary.  The quality has declined in the comments, and I seldom even read them anymore, just the articles. 

The worst part is the "I'm cool with a different point of view" stance is gone.  Maybe this is because of personal grievance or maybe it is because of something else.  But there is a pervading desire to attack people with a different point of view now.  Not an attack like "you are full of it because..."  Just an attack because the view is different, because someone feels threatened. There's no attaempt to see if there is any truth to it. 

For all I know, I'm not any smarter than anbody else here, and my comments certainly are worth less than someone like ZeroPower, Chindit, or Mephisto,Ben the Bald, or many, many others.  But I will say that it is really dumb to talk about killing people one doesn't know for things that one imagines they do. 

That I get my knuckles rapped and someone else can talk about killing oeple with impunity should be a concern. 

Fri, 03/16/2012 - 14:40 | 2262770 Tyler Durden
Tyler Durden's picture

This site's ideal, above all, is to educate people. The more the better. And if in the process it attracts commentators who post visceral opinions, so be it. That's life. And because Zero Hedge is constantly growing, yes, comments may fluctuate in quality, but it is up to the commentators to put in the effort to be heard: trust us - some of the best comments we have read have appeared in recent days. And yes, America (and Europe) is full of people who desire everything to be handed to them on a silver platter. It is the putting an effort into it, that people are usually unhappy with. As for confrontation of opinions. Novel, revolutionary, ideas are never borne out in peace and quiet and echo chambers.

That said...

Those who want a quiet venue of abstract philosophers with an IQ more than 200 (which touches nobody at all, and which is what the uber-intelligentsia of the blogosphere was for years, and why it was a total disaster when it comes to supplanting the MSM) will soon have that opportunity right here on Zero Hedge.

But to create an artificial vacuum where voices, especially sincere ones, are stifled is beyond stupid.

Fri, 03/16/2012 - 14:44 | 2262779 jm
jm's picture

That is life, but just as it is cool to hate jews kill bankers <insert issue> here, it should be equally ideal to speak out about it without reprisal. 

Funny that I am the one being called names or mischaractized by you.

Fri, 03/16/2012 - 15:07 | 2262885 Tyler Durden
Tyler Durden's picture

Because those people's limited perspectives are easily ignored. When someone however makes a categorical statement about the site, such as "What made this site so special was good market intell that came form poeple that work the markets", we feel obligated to respond, especially when it is up to the commentators to populate the comment pool with intelligent remarks that drown out the idiotic ones.

People here are smart - they know what comments to weed out, and which to focus on.

Hence the previous point about everything being served on a platter: either step up... or simply go to the next post... or don't.

We don't force anyone to read. Nor do we issue refunds.

Fri, 03/16/2012 - 15:11 | 2262912 GeneMarchbanks
GeneMarchbanks's picture

You're no victim, jm. Stop pretending, and on a personal note, stop with the I'm-amoral-and-just-innocently-looking-for-a-trade act. It's pathetic and dubious at best.

 

Fri, 03/16/2012 - 17:32 | 2263482 Moe Howard
Moe Howard's picture

I gave you the magic 8 ball hot tip of the day, yet you "poke the tyler" and stir up crap. Geez.

Fri, 03/16/2012 - 23:04 | 2264298 sherryw
sherryw's picture

Yes, its true that some of the best comments have been in recent times and its also true that one has to trawl through more crap to get to them. But when you do, its like findiong a gold nugget. Being more time poor than before, combined with the site being more prolific over time, I read all the headlines on the site and try and guess which articles will draw the good commentators. It's a bit hit and miss.

Fri, 03/16/2012 - 12:10 | 2262070 Shizzmoney
Shizzmoney's picture

And we're glad you are here, bro.  I hope one day your photoshops end up on the grave of these zombie institutions that suck on the productive tit of society.

Banzai!!!!!!!!!!!!!!!!!!!!!!!!!!!!!1111111111111

Fri, 03/16/2012 - 13:25 | 2262380 Carl Spackler
Carl Spackler's picture

Well, I used to work in one of these banks.

There are good people. They just don't rise to the highest levels because they do not wish to sacrafice their goodness (morality, ethics, etc.) just to do the boss' bidding or dirty work in exchange for a chance to move up the ladder.

In any event, having worked there was a top-notch opportunity to gain wisdom I would not have received from other experiences.

Fri, 03/16/2012 - 11:40 | 2261909 hangemhigh77
hangemhigh77's picture

CEO's - Crap Eating Orsholes.  Does that workd for anyone?

Fri, 03/16/2012 - 11:42 | 2261916 hangemhigh77
hangemhigh77's picture

All ZH readers should get jobs driving Taxi's.  Then pick up your fare at WS and drive that motherfucker to the East River and throw his lying thieving piece of shit ass in the drink.

Fri, 03/16/2012 - 11:43 | 2261919 xtop23
xtop23's picture

Muppet revolt - This is starting to get tasty

Fri, 03/16/2012 - 11:43 | 2261921 hangemhigh77
hangemhigh77's picture

You will however forfeit your tip. bummer

Fri, 03/16/2012 - 11:45 | 2261929 hangemhigh77
hangemhigh77's picture

But wait before you chuck his sniveling pants pissing ass in the river, return the favor and ROB HIM.  Tip secured. And a job well done. May his ass rot with the fishes,

Fri, 03/16/2012 - 12:09 | 2262067 Moe Howard
Moe Howard's picture

That would be a crime, vigilante theft. The drowning is ok, considered mercy killing.

Fri, 03/16/2012 - 11:46 | 2261933 Downtoolong
Downtoolong's picture

These CEO claims of all the employees who say they are still happy crack me up. When someone’s job, future promotions, or severance bonus depends on a non-disclosure agreement in their employment contract, which they violate if  they tell the truth about what goes on in their organization, isn’t this the expected outcome. It’s not the 99% who are selling their soul for a price that should impress us (and we all know it’s a high price for a Wall Street employee), it’s the one percent who decided even that comp isn’t enough.  

Anyone who has worked on Wall Street knows that the Beatles got it wrong; “you can buy me love”. The only thing that seems to be changing now is that you can sell it too. Next thing you know we’ll have a tight bid/ask spread and HFT algos will be ripping record volume trade in it every day on the NASDAQ.

Fri, 03/16/2012 - 12:12 | 2262083 Moe Howard
Moe Howard's picture

If you think you have to work on Wall Street to understand the Beatles got it wrong, you must be pretty far up the squids ass, maybe a club member. All us mortals understand love = pussy = for sale and trade, could be dinner, a ride, a joint, 5 drinks or $500, or half of everything. Life between man and woman is constant negociaion, us main street people learned that at 14 - at least the men did. I don't know what the bitchez think, if I did, I would be king of the world.

Fri, 03/16/2012 - 11:49 | 2261952 hangemhigh77
hangemhigh77's picture

All ZH readers dispatch IMMEDIATELY to MS headquarters in NYC and piss on their building as a protest.  Try to write your name.

Fri, 03/16/2012 - 11:49 | 2261954 Dermasolarapate...
Dermasolarapaterraphatrima's picture

I notice the Morgan CEO never mentioned Kermit (or Miss Piggy) even once...not once.....

Fri, 03/16/2012 - 11:53 | 2261984 hangemhigh77
hangemhigh77's picture

Since these CEO scum consider us to be nothing more than monkeys all ZH readers should act like monkeys and throw shit at the prick CEO assclown motherfucker.

Fri, 03/16/2012 - 11:55 | 2261995 Seasmoke
Seasmoke's picture

they can never close pandoras box

Fri, 03/16/2012 - 12:02 | 2262031 Catullus
Catullus's picture

I say this as a competitive intelligence analyst: fuck your competitors. Just win. One of their employees rips them on the pages of NYT and you're not supposed to take advantage of it? Explain to me why you "don't do business that way".

The customer is going to weigh these things in their mind. Just touch on it: if you're not careful, these people will fuck you. You will lose your job if you make a bad decision. These people do not have your best interests in mind.

Honestly, these asshats don't sound like real competitors to me. They sound like prep school buddies. $20m a year for this bs.

Fri, 03/16/2012 - 12:07 | 2262060 Moe Howard
Moe Howard's picture

You do business this way when you have a cartel.

Fri, 03/16/2012 - 12:05 | 2262051 johnjkiii
johnjkiii's picture

Despite what most on this site think, 99% of us went into the biz to do good & make money. In my case, after about 5 yrs., I realized that to keep sane & clients whole, you avoided ANY product the "firm" created. Not so much because it was meant to be a disaster but because most exploded in everyone's wallet. In the early days, the firms believed in "client first" and when an idea blew up they actually paid the clients back for the mistake. Somewhere along about 10 yrs ago they decided that driving earnings meant force feeding shitty deals down the throats of the sales people & clients. They did it by cutting pay on stock, bonds or anything that was a legit, trustworthy investment. It still took me 8 of those years to decide to bolt only because I loathed the firm and its policies so much I hated getting up in the morning. Inertia takes a long time to overcome. It is easy for the knownothings to criticize but there are people out there who put money into the markets who have no clue what they are doing. The industry and it's honest practicioners have a place but very little voice can be heard over the blare of propaganda & hype that crony capitalism has foisted on us. If those who want to mouth off here and in other venues would put their knowledge to work for the vast majorities who are victims of MS, GS, Merrill et al. it would help.

Fri, 03/16/2012 - 12:05 | 2262052 Moe Howard
Moe Howard's picture

Who is Greg Smith? In his own words:

My proudest moments in life — getting a full scholarship to go from South Africa to Stanford University, being selected as a Rhodes Scholar national finalist, winning a bronze medal for table tennis at the Maccabiah Games in Israel, known as the Jewish Olympics — have all come through hard work, with no shortcuts. Goldman Sachs today has become too much about shortcuts and not enough about achievement. It just doesn’t feel right to me anymore.

He is a South African Jew ping pong player who went to Stanford. Come on now, folks do you really think this a whisle blower? What is coming down right now that they don't want us to see, I wonder? Is it Goldman employees being pushed in front of trains in Cali? What is it they are misdirecting our attention from? I'm not buying the story, the would kill him or his family first before they would allow this unless they wanted it, IMHO. Watch where this guy lands in a year or two.

Fri, 03/16/2012 - 12:51 | 2262231 Moe Howard
Moe Howard's picture

Why the down arrow? Did I lie about something? Correct me if I am wrong on some factual matter, secret red arrow beetch.

Fri, 03/16/2012 - 12:54 | 2262242 Moe Howard
Moe Howard's picture

Greg? Greg? Is that you Greg? Or some other South African Jew Ping Pong Playa?

Fri, 03/16/2012 - 12:57 | 2262259 Moe Howard
Moe Howard's picture

Not to be a dick but if I was an "anti-jew" [I'm not] I would have cracked some jokes like

"Jewish Olympics? What event? Who can get the closest to wholesale or below on a purchase without using a cousin? Who can sell the flawed diamond to the goy for the most profit? Who can sell the most cardboard shoes to black people from the south side of Chicago as leather without getting caught?"

The jokes, although funny, are all things jewish people where I grew up were busy doing. Also boning black chicks, but that's another story.

Fri, 03/16/2012 - 14:27 | 2262706 Iwanttoknow
Iwanttoknow's picture

Also a rhodes scolar.look up Carrll quigley's lesser known"Anglo american establishment".

Fri, 03/16/2012 - 17:40 | 2263499 Moe Howard
Moe Howard's picture

Naw, he was a finalist, he was not a Rhodes Scholar, more like the Elite version of Miss America Runner up. He couldn't cut it, choked at the end. Same thing that punked him in ping pong, he choked, got a bronze. Who wants to come home with a bronze? People get gold, silver, even lead I get or copper, but bronze? Nobody wants it, that's the loser medal.

That's why I think they had him throw himself on his sword, because he's a real nobody as far as connected elite. They will reward him in a year or so. He is doing what they want him to. If he wasn't, it would not have been printed in the NYT. It would have been at the daily bell or here.

Fri, 03/16/2012 - 12:22 | 2262114 alien-IQ
alien-IQ's picture

it looks like several former Chase employees has come forward to help with this story/investigation...which seems to be getting remarkably little attention:

OCC Probing JPMorgan Chase Credit Card Collections

First in a series

JPMorgan Chase & Co. took procedural shortcuts and used faulty account records in suing tens of thousands of delinquent credit card borrowers for at least two years, current and former employees say.

The process flaws sparked a regulatory probe by the Office of the Comptroller of the Currency and forced the bank to stop suing delinquent borrowers altogether last year.

The bank's errors could call into question the legitimacy of billions of dollars in outstanding claims against debtors and of legal judgments Chase has already won, current and former Chase employees say.

For the banking industry at large, the situation at Chase highlights the risk that shoddy back-office procedures and flawed legal work extends well beyond mortgage servicing.

"We did not verify a single one" of the affidavits attesting to the amounts Chase was seeking to collect, says Howard Hardin, who oversaw a team handling tens of thousands of Chase debt files in San Antonio. "We were told [by superiors] 'We're in a hurry. Go ahead and sign them.'"

FULL STORY HERE: http://www.americanbanker.com/issues/177_49/chase-credit-cards-collectio...

Fri, 03/16/2012 - 12:34 | 2262163 flyingpigg
flyingpigg's picture

Greed is good.

Telling the media that we all sqeeze muppets is not fair (crying).

Fri, 03/16/2012 - 12:54 | 2262243 famousamos
famousamos's picture

Main stream is basically telling any potential whistleblowers that they will be blacklisted... I think his future looks bright as long as he doesn't get accidentally run over by a car, or die from a tragic food poisioning accicent; http://www.nydailynews.com/news/money/goldman-sachs-bridge-burner-greg-smith-tactic-ruin-future-job-prospects-article-1.1040772?localLinksEnabled=false

Fri, 03/16/2012 - 21:26 | 2264100 Dineroguru
Dineroguru's picture

What a bunch of f-ing theives.  I have more respect for a guy robs a liquor store than Jamie Diamond. I could tell wonderful story to the papers about my experience at JPM-- but would anyone care?

Fri, 03/16/2012 - 22:48 | 2264272 sherryw
sherryw's picture

Yes, haven't you been listening? An avalanche of whistleblowers is what is being called for here.

Fri, 03/16/2012 - 23:19 | 2264315 AgShaman
AgShaman's picture

"What matters most is that we passed the recent stress tests....that were tougher than the 2009 stress tests."

....you know, 2009....back when We (Morgan Stanley) got busted for charging and bilking clients for decades on storing bullion that we didn't bother with buying on their behalf....then slapped on the wrist with a $4.4 million dollar fine to buy our way outta admitting guilt.

Yeah....Morgan Stanley...."a parasite's parasite" in this filthy frickin' industry.

Do us all a favor Gorman....and keep your "glory-hole" shut about what's fair in whistleblower Op-Eds

F***kin' Twat!

http://canadiansilverbug.blogspot.com/2009/07/morgan-stanley-selling-bullion-they.html

Sat, 03/17/2012 - 03:26 | 2264504 cnhedge
cnhedge's picture

their sinking ship is still tbtf.
http://www.cnhedge.com/
http://www.jinrongbaike.com/

Sat, 03/17/2012 - 10:18 | 2264743 Winston Churchill
Winston Churchill's picture

The corpse is starting to smell very,very badly.

Time to get it underground.

Do NOT follow this link or you will be banned from the site!