Financial Regulatory Forum

JPMorgan repeats basic mistakes managing traders, say officials

By Rachel Wolcott

LONDON/NEW YORK, May 15 (Thomson Reuters Accelus) – JPMorgan’s Chief Investment Office, which last week was responsible for more than $2 billion in mark-to-market losses, appears to have made some classic mistakes in the risk management of trading desks and the monitoring of traders. Although the CIO losses have not been blamed on a rogue trader, they do have much in common with the incidents at UBS and Société Générale, where single traders lost billions seemingly overnight.  (more…)

WikiLeaks furor raises risk issue for financial firms -Complinet

WIKILEAKS/By Brett Wolf, Complinet

Some financial institutions are scrambling to put distance between themselves and the whistleblower web site WikiLeaks, but is this necessary? Financial services firms face no clear legal obligation to cut off WikiLeaks and its founder Julian Assange, but intense publicity and the pressure brought by the US government and lawmakers to cripple the organization are forcing companies to weigh other risks they might face if they continue to do business with WikiLeaks.

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