I thought Nick Leeson would be the last rogue trader and all big institutions would have learnt that lesson and all kinds of controls would have been put in place. We are seeing more rogue traders appearing as if no one knows how to prevent such excesses.
This guy in UBS could have walked away smiling if he had done them openly and pass the loss to the bank. Many big institutions have lost billions or hundreds of billions without losing any sleep or anyone being made accountable. It is a game that more than meets the eyes.
In this modern world of high finance, deregulation and minority shareholders all sleeping or unable to do anything, it is so easy to rob a bank or sell off a bank with a ‘rogue’ trader. Some silly big investors even willing to put money in institutions without have any management rights or representation, so trusting, innocent and naïve, believing that the management are all honourable people that will not rob the institutions to line their own pockets.
I got this strange feeling that we are reading Alice in Wonderland, where little innocent children were running around with bags of cash and passing them around like a game of monopoly. But then again I am just too unsophisticated and untrusting of strangers and always think that I can be cheated by decent and respectable men in ties and suits and a string of degrees from the Ivy League universities.
Of course I am wrong. The world is full of honest people. And they get more honest in high places when they are paid their rightful dues. All those rogue traders simply happened by a slip of management supervision. That’s all.