Jamie Dimon’s Quandary: Now That JPMorgan’s Internal Hedge Fund Is Gone, Where Will 25% Of Net Income Come From?

Jamie Dimon’s Quandary: Now That JPM’s Internal Hedge Fund Is Gone, Where Will 25% Of Net Income Come From? (ZeroHedge, July 14, 2012)

1 thought on “Jamie Dimon’s Quandary: Now That JPMorgan’s Internal Hedge Fund Is Gone, Where Will 25% Of Net Income Come From?

  1. This article sums up the problem, not just for JP Morgan, but for every bank in the world. There is far less money in reality than on paper.
    Look at the LIBOR scandal. It involves $800 trillion a day in funds loaned and borrowed. The entire world GDP for the YEAR averages $50-65 trillion. The numbers are totally out of wack…..the banks have finally over-leveraged to the tippping point & there is no going back.
    FDR’s FED chairman was once asked what caused the Great Depression of the 1930s. I liked his reply enough to memorize it. He said “As in a poker game, when the chips are concentrated in fewer and fewer hands, the other fellows can only stay in the game by borrowing. When their credit ran out, the game stopped.”
    The game is over.
    In my estimation, we are facing a deflationary depression far worse than the 1930s. They were leveraging 9:1, today’s business leverages 1000:1.

Leave a Comment