That is really hard to swallow. I did a quick wiki search and found that worldwide GDP is in the $30 – $35 trillion range. So do futures account for all worldwide trading for the next 20 years (assuming no growth)? You would have to have one helluva crystal ball to trade that far out into the future.
I believe that Warren Buffet referred to them as “time bombs.” I’m not a big regulation guy, but it is hard to argue against the need for more transparency and the ability to control leverage.
All banks should be prevented from participating in this market. Things were better when Glass Steagal was the law of the land. Then came along Citi group with their effort to buy Travelers and Clinton pushed through a bipartisan bribe, I mean law Graham Leach Blaly law that gave the green light for a bank to own an insurance and financial investment firm. Oh did I mention that Citi is the largest donor to the Clinton Foundation with a billion dollar donation.
Its about time that we stop banks from other activities than banking and we should make sure insurance companies do not invest in these investments either. AIG comes to mind.
Certainly that must have been a typo. It couldn’t possibly be $650 trillion could it?
No Jason, the figure is more-or-less correct. Remember, these are basically futures contracts.
That is really hard to swallow. I did a quick wiki search and found that worldwide GDP is in the $30 – $35 trillion range. So do futures account for all worldwide trading for the next 20 years (assuming no growth)? You would have to have one helluva crystal ball to trade that far out into the future.
I believe that Warren Buffet referred to them as “time bombs.” I’m not a big regulation guy, but it is hard to argue against the need for more transparency and the ability to control leverage.
All banks should be prevented from participating in this market. Things were better when Glass Steagal was the law of the land. Then came along Citi group with their effort to buy Travelers and Clinton pushed through a bipartisan bribe, I mean law Graham Leach Blaly law that gave the green light for a bank to own an insurance and financial investment firm. Oh did I mention that Citi is the largest donor to the Clinton Foundation with a billion dollar donation.
Its about time that we stop banks from other activities than banking and we should make sure insurance companies do not invest in these investments either. AIG comes to mind.