Felix Salmon

Counterparties

Bad stock art

Vivendi, GE agree to interim payment on NBCU stake — Reuters

I’m now “the dark prince of the financial blogosphere”! — NYM

How to fund the MTA

Alex Pareene has a wonderful rant about New York’s MTA, which picks up on this astonishing line from the Daily News:

Where to get 50x leverage on stock indices

Last Friday, Jason Kelly put up a very funny blog entry about his launch of a pair of fictional 100x levered ETFs, with the ticker symbols SOAR and SINK:

The Miller-Moore amendment’s not that bad!

John Jansen reprints some BarCap research on the Miller-Moore amendment, and now I think I understand why so many finance types are so scared by it: they’ve misread it!

The SEC surrenders to the oil industry

What are the consequences of allowing multi-billion-dollar systemically important multinational corporations to report their assets using proprietary mark-to-model tools involving discredited Monte Carlo simulations? I think we all know the answer to that one. But unbelievably, after such shenanigans contributed enormously to the greatest financial meltdown in living memory, the SEC is now set to allow more or less exactly the same thing in the oil industry.

Hitting secured creditors

Ira Stoll notes that the Miller-Moore amendment has passed. He calls it the “Bair-Miller-Moore Haircut”, and he doesn’t like it; I, on the other hand, think it’s a spectacularly good idea. This is the meat of it:

Counterparties

A classic 2002 Calvin Trillin piece on wine tasting — TNY

How TV works — YT

HFT “is happening because it’s just more cost effective to employ one programmer over dozens of expensive traders” — FT

Disclosing journalists’ pasts

Dear Henry,

I’m not annoyed by you! How could I be, when you call me the “king of financial bloggers” no fewer than four times in one piece? I think you’ve created a powerful, innovative, and disruptive franchise in The Business Insider, which employs some very smart people and publishes some great journalism — even if sometimes it’s neither checked nor correct. I’m entirely happy that you’re out there hiring people even as most publications are doing the opposite, and I wish you and your investors the very best of fortune.

The unbearable pain of 0.01%

Bill Gross isn’t earning much interest on his cash: in fact, he’s only earning 0.01%. Tell us, Bill, what’s an appropriate metaphor to explain how it feels to earn such a low interest rate?