|
Home The Investment Machine Forum Home 
|
UBS ETF rogue trader causes $2 billion in lossesAll listings are the responsiblity of the posters; keep in mind, anyone can post anything! |
 us |
|
| ||
|
Home The Investment Machine Forum Home
|
UBS ETF rogue trader causes $2 billion in lossesAll listings are the responsiblity of the posters; keep in mind, anyone can post anything! |
us |
|
| ||
|
Advertisement: Top Searches: • ubs etf loss • ubs etf unauthorised trades explained • ubs unauthorized trading etf • ubs etf rouge trader • ubs losses 2 billion reputation damage • ubs etf loss how • |
The Investment MachineUBS ETF rogue trader causes $2 billion in losses
These are trying times for the financial industry, especially among investment banks. As public pressure grows to make sure financial institutions separate their investment banking arm from their retail arms, they are also trying to make their way out of the global financial crisis and stay alive through massive government bailouts. Then a $2B UBS scandal breaks out, and you know that this is going to be an even more difficult time for the Swiss bank.
Yes, you heard that right. UBS recently disclosed that it lost $2B because of unauthorized trading by one of its traders. It's "rogue trading," as the bank calls it. Although UBS said that the loss is still manageable, the bigger damage will be on the Swiss bank's reputation as industry experts wonder aloud if UBS will be able to turn everything around. The company said that they expect a third-quarter loss because of this incident as it completely wipes off the company's cost-saving measures. There are speculations that jobs will be cut off in the investment bank in order to make up for the loss. Shares of the company fell by around 10 percent after the announcement. 31-year-old trader Kweku Adoboli was arrested by London police officials for trading fraud after the company told them about this event. It remains uncertain up to this point (and it could be an indication of just how lax the risk management policies of the company are in place) how a single trader could accumulate that much losses in a period of time without anyone surrounding him noticing it. It was reported that Adoboli himself reported the loss to the bank. This does not only put the company under a bad light. Adoboli is an exchange-traded fund (ETF) trader for the bank's delta one division, causing unwanted reputational damage on the ETF industry. Now legislators are clamoring for a look into the risk management practices in the ETF industry, accountability from the senior managers at the bank, and even long-term policies that prohibit certain financial institutions from making proprietary trades. More updates will be put about this scandal as information comes out in the coming days. You can talk about... UBS ETF rogue trader causes $2 billion in losses Tags: • accountability • policies • risk • fraud • reputation • trading • scandal • bailouts • banking • banks • investment • trader • etf • risk management • swiss banks • financial crisis • investment banking • investment banks • financial industry • exchange traded fund • Related articles:
UBS ETF rogue trader causes $2 billion in losses The Investment Machine |
All users of this site agree to and acknowledge the following: This site is strictly a directory of websites and does not offer any investments for sale, advertise any investments, nor recommend any investments. The only criteria for inclusion of a link on this site is that it is related to investments. TheInvestmentMachine.com has no responsiblity for any information contacted on websites it links to. It is your responsiblity to discuss the investment opportunity with your attorney, qualified investment advisor and/or appropriate regulatory agency. All messages are the opinions and responsibility of their posters. This is strictly an online forum for the vigerous debate of investment related topics. Before making any investment you should review the Investment Fraud section and discuss the investment opportunity with your attorney, qualified investment advisor and/or appropriate regulatory agency.
Website copyright (c) 2005-2011 GLR Sales LLC. (rozwqizwipzeew) Privacy & DMCA Policy -- Sitemap |
