If there is one commonality among all the major financial disasters of the last twenty years it is that improper non-cleared derivatives management has overwhelmingly been involved. As a July 3 New York Times editorial bravely pointed out, the “heightened vigilance of derivatives in particular” is a familiar issue that continues to remain a source of concern. But today is a moment in history where losses among hedge funds and banks who improperly managed their derivatives exposure somehow has become pedestrian. After Long Term Capital Management in 1998, followed by Enron, and ultimately Bear Sterns and Lehman Brothers that led to…
New Report Points To MF Global's "Unlawful" Mistakes
Mark Melin
Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.