Wall Street Law Blog: Corporate & Securities Law

Home -> Law Blog Directory -> Corporate & Securities Law Blogs

OR PHONE (866) 635-1838 for Bankruptcy Help, (866) 635-6190 for Divorce,
(866) 635-2689 for Personal Injury or (866) 635-9402 for Criminal Defense

Find a Local Lawyer

Bankruptcy (866) 635-1838
Divorce (866) 635-6190
Personal Injury (866) 635-2689
Criminal Defense (866) 635-9402

Corporate & Securities Law

Wall Street Law Blog

Straight talk on current issues in securities litigation, financial fraud, and risk management.
By Brett D. Sherman

Post Frequency: 0.3/day

Last Entry: March 30, 2011 at 01:29:00

New: Follow Wall Street Law Blog on Facebook

Posted on April 26, 2010
The Facebook page has, and will continue to have, new content - but also additional posts from other sources and some of the best posts from our archives too. Click here to check out the page - Hit the "I like" button to follow...

Christopher Columbus and financial risk management... (encore)

Posted on April 22, 2010
By Brett Sherman Introduction (a slight bit of revisionist history is ok now and then...) *** 1492: The Italian explorer sailed his three ships from island to island, staking claims for the Spanish King and Queen throughout the calm, crystal...

READ THE SEC GOLDMAN SACHS COMPLAINT

Posted on April 17, 2010
http://www.sec.gov/litigation/complaints/2010/comp-pr2010-59.pdf

The financial crisis is like betting on the Dallas Cowboys (encore - Our most popular post so far)

Posted on April 15, 2010
"Mr. Pre- uh, George. Sorry, I mean Doubayuh. Hank Paulsen isn't the Secretary anymore." "Really? he deadpans. "I had no idea. Always liked that guy. Real strong sense of right and wrong, ya know? Goldy - umm Hank Paulsen - was always talking about how we need to avoid moral hazards...

To access this complete feed in the blog feed reader login or register for free.

A JEDI APPROACH TO RISK MANAGEMENT (updated)

Posted on April 13, 2010
Risk Magnitude: Why JP Morgan Chase CEO Jamie Dimon is a Jedi Risk Manager... How Senior Management at Bear Stearns, Lehman, and Merrill (among others) failed to practice Jedi Risk Management.

Another Brick in the Wall of Securities Fraud at Bear Stearns (updated)

Posted on April 11, 2010
An individual's creditworthiness is highly correlated to mortgage default risk. In other words, the worse a borrower's credit history, the more likely it is that the borrower will default.

A Strong Risk Management Culture??? (update 1)

Posted on April 08, 2010
Greenberg's comments - and his demeanor - during the interview (we watched it a bunch of times) were quite stoic. Of course, Ace, Jimmy Cayne, and their fellow Executive Committee members made immense fortunes during the bubble years (and that takes into account all paper stock "losses" they "suffered" when the roof caved in).

A Strong Risk Management Culture???

Posted on April 07, 2010
Profits were just too big said Bear's Greenberg: Ace Greenberg was the man most responsible for Bear's alleged "strong culture of risk management." Greenberg was Chairman of the Bear Stearns Executive Committee until the firm collapsed. Greenberg led the Bear...

Bear Stearns: Fact or Fiction?

Posted on April 03, 2010
Welcome to the first edition of: Bear Stearns / Not Bear Stearns, The Wall Street Law Blog Securities Fraud Quiz. The format is simple - In each edition of The Quiz, we list 5 real "Bear" quotes and five "Not...

FTC in 1998: Subprime is Subpar

Posted on April 01, 2010
MARCH 16, 1998 FTC PRESS RELEASE ON PREDATORY LENDING IN SUBPRIME MORTGAGE INDUSTRY

NY Fed Discloses Maiden Lane Assets in Extreme detail...

Posted on March 31, 2010
What happened to $45 billion and when did it disappear??

The first subprime boom and bust - WSLB Time Machine

Posted on March 29, 2010
Remember The Money Store?

Why pay more? Logic and liar loans...

Posted on March 24, 2010
When provided with a choice, rational people prefer to borrow money at the lowest possible cost. No-doc loans cost more than documented loans. If people could prove income assets and employment, and therefore pay less for their mortgage, that is precisely what they would do...

Two Years A.B.S. (after Bear Stearns, not "asset backed security") and a question:

Posted on March 17, 2010
The term LIQUIDITY means cash and cash equivalents. "Cash equivalents" are highly liquid assets (assets that can easily be sold) like Treasury bonds; ILLIQUID ASSETS are items that have little or no market demand and, therefore, cannot be easily turned into cash.

Author Lewis explains Wall Street's willful blindness (plus Happy 2nd anniversary to Cayne, Ace and Alan Schwartz)

Posted on March 16, 2010
"This was an episode where capitalism was almost destroyed, just by the capitalists. And, in the most sensational way, they were sort of destroyed by their own folly." Michael Lewis

Time Machine Vol.2: Bloomberg, March 2006- Sagging mortgages could hurt investment banks

Posted on March 16, 2010
"Executives at Lehman Brothers Holdings Inc. and Goldman Sachs Group Inc. said revenue from mortgage bonds in the U.S. is dropping as rising interest rates depress home sales. Lehman, the fourth-biggest U.S. securities firm, is cutting almost 200 jobs at two home-lending units in California...

Magic 8 Ball Says...'Housing bubble was foreseeable'

Posted on March 12, 2010
Fraud by Hindsight? C'mon Wall Street... One of the primary arguments Wall Street firms are asserting to defend themselves from securities fraud allegations is something like this - We could not foresee the collapse of the housing market, and therefore...

WSLB TIME MACHINE: 9/26/07 - Greenspan says there is U.S. housing bubble (per FT)

Posted on March 03, 2010
Time Machine, September 2007... "US house prices are likely to fall significantly from their present levels, Alan Greenspan has told the Financial Times, admitting that there was a bubble in the US housing market."

Major Subprime Decision from SDNY? We think so...

Posted on February 25, 2010
Federal court decision of interest about subprime-related fraud and the financial crisis : In Re Ambac Securities Litigation. Federal District Court Judge Naomi Reice Buchwald of the Southern District of New York substantially denied dismissal of federal securities fraud class...

The Mortgage Securities Crash of 1994...

Posted on February 19, 2010
Bear Stearns and Lehman Brothers were at the center of the 1994 mortgage securities crash. Surprised?

From NYT Online, The Great Goldman Sachs Fire Sale of 2008

Posted on February 18, 2010
The Great Goldman Sachs Fire Sale of 2008By WILLIAM D. COHAN William D. Cohanon Wall Street and Main Street. TAGS: FEDERAL RESERVE,GOLDMAN SACHS,PRESIDENT OBAMA,TREASURY DEPARTMENT,WALL STREET In an interview last week, President Obama said he didn?t begrudge Jamie Dimon, the...

ARBITRATION AWARD AGAINST JPM FOR BEAR STEARNS SUBPRIME HEDGE FUND LOSSES

Posted on February 14, 2010
Friends of Wall Street Law Blog score big litigation triumph over JPMorgan for BSAM hedge fund fraud. Reuters, which distributed the following report (below) is not affiliated with Wall Street Law Blog, which wrote and is responsible for the content....

Harvard & Columbia Profs Rip Wall Street

Posted on January 29, 2010
BEBCHUK AND STIGLITZ DON'T PULL PUNCHES ON CAPITOL HILL On January 22, 2010, distinguished economists Lucian Bebchuck (Harvard Law School) and Joseph Stiglitz (Columbia Business School) testified before the House Committee on Financial Services regarding the impact of Wall Street...

Bank of America CEO Spins You Right Round Baby (FCIC Testimony)

Posted on January 24, 2010
First, Wall Street Law Blog says Go JETS! * * * * TESTIMONY AS PROPAGANDA Below: Transcript of recent testimony to the Financial Crisis Inquiry Commission by Bank of America CEO Brian Moynihan. The testimony is so full of spin...

Fear not! The staff of Wall Street

Posted on January 21, 2010
Fear not! The staff of Wall Street Law Blog (@WallStlawblog) have been deep undercover. Major expose coming soon.

ON WALL ST, RISK FREQUENCY COLLIDED WITH RISK MAGNITUDE

Posted on December 19, 2009
Wall Street risk management during the housing bubble failed to sufficiently account for low frequency, high magnitude risks.

Investment Bank CEO confessed... (GREATEST HITS COLLECTION)

Posted on December 17, 2009
Updated By Brett Sherman, The Sherman Law Firm In July 2007, Bear Stearns CEO Jimmy Cayne wrote to Bear Stearns hedge fund investors. Cayne's mission that day was critically important, and he knew it. In the wake of the shocking...

The confession of Bear Stearns CEO Jimmy Cayne... (greatest hits)

Time confirms Bryan Burrough's Bear Stearns article as nonsense (GREATEST HITS))

Posted on December 15, 2009
VANITY NOT FAIR - Magazine rushed irresponsible "investigative report" BY BRETT D SHERMAN; WALL STREET LAW BLOG "Instead of evidence there's just pure speculation. 'Where there's smoke, there's fire,' might be a nice sound bite but its not evidence. Before...

The Subprime Con Game - a brief history of audacious greed.

Posted on December 15, 2009
Subprime's fate was sealed from the start. By Brett D. Sherman What made subprime lending work on a mass scale was the easy credit that Wall Street (and the federal government) wanted and the Fed delivered. Unconscionably low interest rates....

Previous | Next

Related Law Bulletins

New Baptist Covenant Blog
Last week, I pointed to the New Baptist Convenant website, now onl...

The Mexico Trucker Blog
I've written before about the perceived problems with relaxed rest...

Eight People Killed in Maryland After Being Hit By Car During Street-Race
At least eight people are dead and five others injured in Accokeek...