I just can’t muster much pity for these clowns. It seems to me that these exotic financial instruments serve no purpose other than to obfuscate in order to allow them to sell crap to suckers, I mean investors.
Dimon Sees Big Price Tag for Derivatives Rules – DealBook Blog – NYTimes.com.
JPMorgan Chase could lose up to $2 billion in revenue if the government clamped down on derivatives trading, Jamie Dimon, its chief executive, told analysts on the bank’s conference call on Wednesday to discuss its first-quarter earnings.
“It will be a negative,” Mr. Dimon said. “Depending on the real details, it could be $700 million to a couple billion dollars.”
Mr. Dimon said that he thought most standard derivatives would be required to go through a clearinghouse, but that this change would not hurt the bank’s bottom line so much. The bigger hit would come if the government decided to require more transparency in the opaque over-the-counter derivatives market by forcing those trades to go through a public exchange.
