Mark Hulbert) There are eerie parallels between the stock market’s recent behavior and how it behaved right before the 1929 crash.That at least is the conclusion reached by a frightening chart that has been making the rounds on Wall Street. The chart superimposes the market’s recent performance on top of a plot of its gyrations in 1928 and 1929.The picture isn’t pretty. And it’s not as easy as you might think to wriggle out from underneath the bearish significance of this chart.I should know, because*I quoted a number of this chart’s skeptics*in a column I wrote in early December. Yet the market over the last two months has continued to more or less closely follow the 1928-29 pattern outlined in that two-months-ago chart. If this correlation continues, the market faces a particularly rough period later this month and in early March. (See chart, courtesy of Tom McClellan of the McClellan Market Report; he in turn gives credit to Tom DeMark, a noted technical analyst who is the founder and CEO of DeMark Analytics.)One of the biggest objections I heard two months ago was that the chart is a shameless exercise in after-the-fact retrofitting of the recent data to some past price pattern. But that objection has lost much of its force. The chart was first publicized in late November of last year, and the correlation since then certainly appears to be just as close as it was before.- See more at:
began writing analysis on the macro-economic situation of the American financial structure back in 2006, and in the eight years since, I have seen an undeniably steady trend of fiscal decline.I have never had any doubt that the U.S. economy as we know it was headed for total and catastrophic collapse, the only question was when, exactly, the final trigger event would occur. As I have pointed out in the past, economic implosion is a process. It grows over time, like the ice shelf on a mountain developing into a potential avalanche. It is easy to shrug off the danger because the visible destruction is not immediate, it is latent; but when the avalanche finally begins, it is far too late for most people to escape…If you view the progressive financial breakdown in America as some kind of “comedy of errors” or a trial of unlucky coincidences, then there is not much I can do to educate you on the reasons behind the carnage. If, however, you understand that there is a deliberate motivation behind American collapse, then what I have to say here will not fall on biased ears.The financial crash of 2008, the same crash which has been ongoing for years, is NOT an accident. It is a concerted and engineered crisis meant to position the U.S. for currency disintegration and the institution of a global basket currency controlled by an unaccountable supranational governing body like the International Monetary Fund (IMF). The American populace is being conditioned through economic fear to accept the institutionalization of global financial control and the loss of sovereignty.Anyone skeptical of this conclusion is welcome to study my numerous past examinations on the issue of globalization; I don’t have the time within this article to re-explain, and frankly, with so much information on deliberate dollar destruction available to the public today I’ve grown tired of anyone with a lack of awareness.If you continue to believe that the Fed actually exists to “help” stabilize our economy or our currency, then you will never find the logic behind what they do. If you understand that the goal of the Fed and the globalists is to dismantle the dollar and the U.S. economic system to make way for something “new”, then certain recent events and policy initiatives do start to make sense.The year of 2014 has been looming as a serious concern for me since the final quarter of 2013, and you can read about those concerns and the evidence that supports them in my article*Expect Devastating Global Economic Changes In 2014.At the end of 2013 we saw at least three major events that could have sent America spiraling into total collapse. The first was the announcement of possible taper measures by the Fed, which have now begun. The second was the possible invasion of Syria which the Obama Administration is still desperate for despite successful efforts by the liberty movement to deny him public support for war. And, the third event was the last debt ceiling debate (or debt ceiling theater depending on how you look at it), which placed the U.S. squarely on the edge of fiscal default.As we begin 2014, these same threatening issues remain (along with many others), only at greater levels and with more prominence. New developments reinforce my original position that this year will be remembered by historians as the year in which the final breakdown of the U.S. monetary dynamic was set in motion. Here are some of those developments explained…Taper Of QE3When I first suggested that a Fed taper was not only possible but probable months ago, I was met with a bit (a lot) of criticism from some in the alternative economic world. You can read my taper articles*hereand*here.This was understandable. The Fed uses multiple stimulus outlets besides QE in order to manipulate U.S. markets. Artificially lowering interest rates is very much a form of stimulus in itself, for instance.However, I think a dangerous blindness to threats beyond money printing has developed within our community of analysts and this must be remedied. People need to realize first that the Fed does NOT care about the continued health of our economy, and they may not care about presenting a facade of health for much longer either. Alternative analysts also need to come to grips with the reality that overt money printing is not the only method at the disposal of globalists when destroying the greenback. A debt default is just as likely to cause loss of world reserve status and devaluation - no printing press required. Blame goes to government and political gridlock while the banks slither away in the midst of the chaos.The taper of QE3 is not a “head fake”, it is very real, but there are many hidden motivations behind such cuts.Currently, $20 billion has been trimmed from the $85 billion per month program, and we are already beginning to see what APPEAR to be market effects, including a flight from emerging market currencies from Argentina to Turkey. A couple of years ago investors viewed these markets as among the few places they could exploit to make a positive return, or in other words, one of the few places they could successfully gamble. The Fed taper, though, seems to be shifting the flow of capital away from emerging markets.The mainstream argument is that stimulus was flowing into such markets, giving them liquidity support, and the taper is drying up that liquidity. Whether this is actually true is hard to say, given that without a full audit we have no idea how much fiat the Federal Reserve has actually created and how much of it they send out into foreign markets.I stand more on the position that the Fed taper was actually begun in preparation for a slowdown in global markets that was already in progress. In fact, I believe central bankers have been well aware that a decline in every sector was coming, and are moving to insulate themselves.Is it just a "coincidence" that the central bankers have initiated their taper of QE right when global manufacturing numbers begin to plummet?http://www.agweb.com/article/us_stoc...nth-low.htmlIs it just "coincidence" the taper was started right when the Baltic Dry Index, a global indicator of shipping demand, has lost over 50% of its value in the past few weeks?http://investmenttools.com/futures/b...ry_index.htmIs it just "coincidence" that the taper is running tandem with dismal retail sales growth reports from across the globe coming in from the final quarter of 2013?http://www.businessweek.com/news/201...se-wallets/And, is it just a "coincidence" that the Fed taper is accelerating right as the next debt ceiling debate begins in March, and when reports are being released by the Congressional Budget Office that over 2 million jobs (in work hours) may be lost due to Obamacare?http://www.reuters.com/article/2014/...31B120140204No, I do not think any of this is coincidence.* Most if not all of these negative indicators needed months to generate, so they could not have been caused by the taper itself.* The only explanation beyond "coincidence" is that the Federal Reserve WANTED to launch the taper program and protect itself before these signals began to reach the public.Look at it this way - The taper program distances the bankers from responsibility for crisis in our financial framework, at least in the eyes of the general public. If a market calamity takes place WHILE stimulus measures are still at full speed, this makes the banks look rather guilty, or at least incompetent. People would begin to question the validity of central bank methods, and they might even question the validity of the central bank’s existence. The Fed is creating space between itself and the economy because they know that a trigger event is coming. They want to ensure that they are not blamed and that stimulus itself is not seen as ineffective, or seen as the cause.We all know that the claims of recovery are utter nonsense. Beyond the numerous warning signs listed above, one need only look at true unemployment numbers, household wage decline, and record low personal savings of the average American. The taper is not in response to an improving economic environment. Rather, the taper is a signal for the next stage of collapse.Stocks are beginning to plummet around the world and all mainstream pundits are pointing fingers at a reduction in stimulus which has very little to do with anything.
What is the message they want us to digest? That we “can’t live” without the aid and oversight of central banks.The real reason stocks and other indicators are stumbling is because the effectiveness of stimulus manipulation has a shelf life, and that shelf life is over for the Federal Reserve. I suspect they will continue cutting QE every month for the next year as stocks decline.* Will the Fed restart QE?* If they do, it will probably not occur until after a substantial breakdown has ensued and the public is sufficiently shell-shocked.* The possibility also exists that the Fed will never return to stimulus measures (if debt default is the plan), and QE stimulus will eventually be replaced by IMF "aid".Government Controlled InvestmentLast month, just as taper measures were being implemented, the White House launched an investment program called MyRA; a*retirement IRA program*in which middle class and low wage Americans can invest part of their paycheck in government bonds.That’s right, if you wanted to know where the money was going to come from to support U.S. debt if the Fed cuts QE, guess what, the money is going to come from YOU.For a decade or so China was the primary buyer and crutch for U.S. debt spending. After the derivatives crash of 2008, the Federal Reserve became the largest purchaser of Treasury bonds. With the decline of foreign interest in long term U.S. debt, and the taper in full effect, it only makes sense that the government would seek out an alternative source of capital to continue the debt cycle. The MyRA program turns the general American public into a new cash stream, but there’s more going on here than meets the eye…I find it rather suspicious that a government-controlled retirement program is suddenly introduced just as the Fed has begun to taper, as stocks are beginning to fall, and as questions arise over the U.S. debt ceiling. I have three major concerns:First, is it possible that like the Fed, the government is also aware that a crash in stocks is coming? And, are they offering the MyRA program as an easy outlet (or trap) for people to pour in what little savings they have as panic over declining equities accelerates?* Bonds do tend to look appetizing to uninformed investors during an equities rout.Second, the program is currently voluntary, but what if the plan is to make it mandatory? Obama has already signed mandatory health insurance “taxation” into law, which is meant to steal a portion of every paycheck. Why not steal an even larger portion from every paycheck in order to support U.S. debt? It’s for the “greater good,” after all.Third, is this a deliberate strategy to corral the last vestiges of private American wealth into the corner of U.S. bonds, so that this wealth can be confiscated or annihilated? What happens if there is indeed an eventual debt default, as I believe there will be? Will Americans be herded into bonds by a crisis in stocks only to have bonds implode as well? Will they be conned into bond investment out of a “patriotic duty” to save the nation from default? Or, will the government just take their money through legislative wrangling, as was done in Cyprus not long ago?The Final SwindleAgain, the next debt ceiling debate is slated for the end of this month. If the government decides to kick the can down the road for another quarter, I believe this will be the last time. The most recent actions of the Fed and the government signal preparations for a stock implosion and ultimate debt calamity. Default would have immediate effects in foreign markets, but the appearance of U.S. stability could drag on for a time, giving the globalists ample opportunity to siphon every ounce of financial blood from the public.It is difficult to say how the next year will play out, but one thing is certain; something very strange and ugly is afoot. The goal of the globalists is to engineer desperation. To create a catastrophe and then force the masses to beg for help. How many hands of “friendship” will be offered in the wake of a U.S. wealth and currency crisis? What offers for “aid” will come from the IMF? How much of our country and how many of our people will be collateralized to secure that aid? And, how many Americans will go along with the swindle because they were not prepared in advance?*****You can contact Brandon Smith at:**email@example.com
FEBRUARY 17, 2014 4:00 AMThe United States of DeclineAmerica unravels at an increasingly dizzying pace.By*Deroy Murdock
America is unraveling at a stunning speed and to a staggering degree. This decline is breathtaking, and the prognosis is dim.For starters, Obama now rules by decree. Reportedly for the*27th*time, he has changed the rules of Obamacare singlehandedly, with neither congressional approval nor even ceremonial resolutions to limit his actions. Obama needs no such frivolities.“That’s the good thing about being president,” Obama joked on February 10. “I can do whatever I want.” In an especially bitter irony, Obama uttered these despicable words while guiding French president François Hollande through Monticello, the home of Thomas Jefferson — a key architect of America’s foundation of limited government.
That very day, Obama*decreed*that the Obamacare mandate for employers with 50 to 99 workers would be postponed until 2016 (beyond an earlier extension to 2015), well past the November 2014 midterm elections. This eases the pressure on Democrats, whose campaigns would suffer if voters saw their company health plans canceled due to Obamacare’s unnecessary, expensive, mandatory benefits — e.g. maternity coverage for men.So, by fiat, Obama has postponed the employer mandate. When Senator Ted Cruz (R., Texas) effectively tried to do this through legislation last fall, Democrats virtually lassoed and branded him.
Also by decree last week, Obama decided unilaterally to*soften*political-asylum rules. Refugees and other immigrants who provide terrorists “limited material support” now can come to America. So what if someone merely clothed and fed Mohamed Atta or Khalid Sheikh Mohammed? After all, garments and meals don’t blow up. Welcome to America, Mustafa!Meanwhile, the Justice Department is working hard to revoke the asylum of and deport the*Romeikes. This evangelical-Christian family was granted refuge in America to escape prosecution for homeschooling their children, which German law forbids.So, Obama believes, those who are only somewhat helpful to deadly, anti-U.S. terrorists may become Americans, while religiously oppressed homeschoolers who face prison should get the hell out.The transparent electoral motive that fuels so many of Obama’s executive orders seems unprecedented. The tone is also brand new. Obama’s predecessors have signed executive orders and, more or less, left it at that. But Obama pounds his chest as he does so. As he*told*Congress at last month’s State of the Union address: “America does not stand still — and neither will I. So wherever and whenever I can take steps without legislation to expand opportunity for more American families, that’s what I’m going to do.”While appalled Republicans sat on their hands, Democrats stood up and shouted like equatorial, rubber-stamp parliamentarians: “Hooray! We are irrelevant!”Chilling.Meanwhile, as the American Enterprise Institute’s Marc Thiessen*wrote*in the February 10*Washington Post, new Congressional Budget Office figures show that Obamacare will reduce U.S. incomes by $70 billion annually between 2017 and 2024. The CBO also estimated that by 2021, Obamacare’s disincentives to hire and incentives not to work would*slash*labor hours by the equivalent of 2.3 million jobs.Rather than dispute these figures, key Democrats embraced them.“We want people to have the freedom to be a writer, to be a photographer, to make music, to paint,”*said*House Democratic leader Nancy Pelosi of California. She added that “people would no longer be job-locked by their [health] policies, but have the freedom to follow their passion.”So, rather than expand economic growth and jobs, Democrats*applaud*as Americans stop working — to do watercolors, draft poetry, and take naps — while exhausted taxpayers foot the bill.Clearly unafraid of Obama, Iranian warships for the*first*time are steaming toward America’s Atlantic maritime borders. Iranian Revolutionary Guards Corps navy commander Ali Fadayi*said, “The Americans can sense by all means how their warships will be sunk with 5,000 crews and forces in combat against*Iran*and how they should find its hulk in the depths of the sea.” Tehran last week also aired fantasy videos of drones blasting a U.S. warship and bombing Tel Aviv. This is how Iran behaves while it negotiates with U.S. diplomats over “peaceful” uranium enrichment?
For decades, America has used its armed strength to enforce the use of the dollar as the world’s reserve currency, effectively making the US military the armed wing of the international banking cartel (IBC). Since 1971 when President Richard Nixon stopped paying US debt obligations with gold, America has increasingly used its military might to prop up the value of the dollar and enforce a global financial structure whose primary beneficiary is the US itself, and whose central bank, the Federal Reserve, serves as the IBC’s supervisory authority.
Who or what is this IBC?* It consists of Bank of America, JP Morgan Chase, Citigroup and Wells Fargo along with Deutsche Bank, BNP and Barclays. Eight families reportedly control the IBC: the Goldman Sachs, Rockefellers, Lehmans, Kuhn Loebs, Rothschilds, Warburgs, Lazards and the Israel Moses Seifs.* Besides owning the US oil behemoths Exxon Mobil, Royal Dutch Shell, BP and Chevron Texaco, IBC member institutions are among the top ten shareholders of nearly every Fortune 500 company. While the IBC itself has no formal status, nevertheless its members are represented by an international body, the Financial Stability Board (FSB).* Organized as the Financial Security Forum in 1999 by G7 finance ministers and central bank governors, the FSB “seeks to give momentum to a broad-based multilateral agenda for strengthening financial systems and the stability of international financial markets.”
War is extremely profitable for the IBC, since not only do its members profit from financing arms sales to both sides during the conflicts that they themselves often initiate, but also from the post bellum reconstruction. In fact, the most powerful of the central banking institutions in the world, the Bank for International Settlements (BIS), was established in 1930 to oversee reparation payments imposed upon Germany by the Treaty of Versailles that ended the First World War. In addition to providing banking services for central banks worldwide, the BIS supervised the Bretton Woods international currency agreements from the Second World War until the early 1970s, when Nixon reneged on pledges to pay US debt obligations in gold. The BIS also works with the International Monetary Fund (IMF) to expand the IBC-imposed debt-dependency cycle among the nations of the world.
The methodology for global financial domination is really quite simple: America imports more goods than it exports and therefore dollars flow out of the US and accumulate in the central banks of other countries. Since the US has refused to honor these obligations in gold, the central banks are forced to invest in US treasury bills, bonds and other US financial instruments that pay interest which is financed by the issuance of further debt. The result is a US-dominated global financial system dependent upon maintaining the value, or more correctly, minimizing the rate of depreciation, of the dollar, allowing the US to enjoy an extravagant consumer-based economy at the expense of the rest of the world.*
Regarding the insidious US debt-domination process, Wall Street analyst Michael Hudson explains that “by running balance-of-payments deficits that it refuses to settle in gold, it has obliged foreign governments to invest their surplus dollar holdings in Treasury bills, that is, to relend their dollar inflows to the US Treasury.”** The system is somewhat self-perpetuating, for should a non-US central bank decide to divest its dollars, it would effectively sabotage the economy in its own country.** Of course, foreign central banks and financial institutions are well aware that by investing in US treasury securities, they will lose money since the Federal Reserve will only turn around and “print” more dollars, thus further diluting the value of their reserves. However, if these foreign institutions would fail to reinvest their dollars in more T-bills, the rate of depreciation of their dollar holdings would accelerate dramatically. Such awareness holds most governments in check, preventing wholesale dumping of dollars, which of course would bring the entire global system down, along with the IBC.
Hence, demand for US dollars and government and agency bonds continues even as [dollar] value falls. The losses on these holdings represent a tax paid to the ‘Empire’,” writes Catherine Austin Fitts, adding, “The fundamental system is as old as the hills. It is based on force.” Conversely, this ability of the IBC to call upon the US military, which incidentally consumes 40 percent of global military spending, whenever and wherever the cartel’s interests are threatened, results directly from the global dominance of the dollar. India-based scholar and social activist Rohini Hensm writes, “It is the dominance of the dollar that underpins US financial dominance as a whole as well as the apparently limitless spending power that allows it to keep hundreds of thousands of troops stationed all over the world.”** In short, dollar dominance allows the obscenely profligate spending to maintain the US military’s global presence, which in turn insures the continuing hegemony of the dollar.
Nevertheless, an increasing number of challenges to this dollar hegemony regime has arisen, some of which have necessitated suppression by the US military.* Iraq is a good case in point. In November of 2000, former Iraqi dictator Saddam Hussein announced to the world that Iraq would no longer accept dollars for petroleum transactions. Despite the declining value of the Euro, Saddam demanded payment for Iraqi oil in the troubled currency while declaring dollars to be “the currency of the enemy.” By 2002, Iraqi oil was being traded in Euros, effectively dumping the dollar. Former US President George W. Bush, who was a deputy of the IBC from the oil industry, used the 9/11 terrorist attacks as a convenient excuse to invade Iraq in March 2003, thus eliminating Saddam’s threat to dollar domination.
When former Libyan leader Muammar al-Qaddafi tried to establish a state-run central bank and trade petroleum in non-dollar currencies, the IBC tapped NATO to intervene. On March 19, 2011, a mere month after initial internal unrest, the Transitional National Council “rebels” announced they were establishing the Libyan Oil Company as the supervisory authority on oil production and policies, and designated the Central Bank of Benghazi as the authority for monetary policies.* That a local group of rebels one month into a rebellion would form a national oil company and designate a private central bank astounded Robert Wenzel of the Economic Policy Journal who remarked, “I have never before heard of a central bank being created in just a matter of weeks out of a popular uprising.” Confirming suspicions of IBC involvement, the US Treasury placed sanctions on Qaddafi’s National Oil Corporation, but assured the rebels, “Should National Oil Corporation subsidiaries or facilities come under different ownership and control, Treasury may consider authorizing dealings with such entities.”
Other countries have had enough of the IBC and its armed wing. Both Russia and China have expressed their distaste for the dollar status quo and US threats of sanctions or military force. On Thursday, Sept. 6, 2012, China announced that any nation in the world that wishes to buy, sell, or trade crude oil can do using the Chinese currency, not the American dollar. Following suit the next day, Russia announced that it would sell China all the crude oil it wanted but it would not accept US dollars. In addition, Russia has recently unveiled a payment system, called the PRO 100 Universal electronic card, designed to bypass the IBC should it again decide to block credit card services to Russian banks.* “There is little doubt in my mind but that Russia and China and no doubt many other countries around the world are getting angry as hell about the US abusing its foreign currency privilege,” wrote investment banker Jay Taylor.
Iran, of course, has long been targeted by the IBC for refusing to surrender to US-imposed sanctions and threats of military force. Iran had completely eliminated the use of US dollars for oil trading by December 2007 and inaugurated its Bourse (stock exchange) for trading petroleum in non-dollar currencies in February 2008, coinciding with the 29th anniversary of the victory of the Islamic Revolution. Additionally, the IBC has tried to cut off Iran from using SWIFT, Society for Worldwide Interbank Financial Telecommunications, for international transactions. However, with the world's second-largest gas reserves and third-largest oil reserves, Iran retains the potential to strike a major blow against US dollar hegemony.
The question is how can we put an end to this stranglehold on the global financial system by the IBC and its armed wing? Hensm gives us a simple, straightforward answer: “Destroy US dollar hegemony, and the ‘Empire’ will collapse.” If more nations join Iran, Russia and China, and opt out of the US dollar protection racket, then this evil “Empire” will surely collapse along with its armed wing.
Inside Wall Street's most secret society: The billionaire banker fraternity where cross-dressing new members make jokes about Hillary Clinton and drunkenly mock the financial crisis
By James Nye15:45 18 Feb 2014, updated 23:17 18 Feb 2014
Kappa Beta Phi was founded in 1929 and has remained secret for more than eight decades
One reporter managed to sneak into their January 2012 induction for new membersWitnessed them dressed in drag, telling jokes in bad taste and mocking Main Street and the bailout
A journalist who gate-crashed a secret fraternity of billionaire bankers has laid bare the booze fueled, cross dressing antics of its members as they openly mocked the 99 percent and made light of the enormous government bailouts of 2009.
Sneaking into the swanky St Regis Hotel ballroom in January 2012, where he was assumed to be a waiter, Kevin Roose became the first outsider to witness the Monty-Python-esque induction ceremony for Kappa Beta Phi.
New members, known as neophytes, traipsed around other masters of the universe dressed in leotards and gold-sequined skirts and wigs - to then perform vaudeville-style acts that included homophobic and sexist jokes and even a parody of ABBA's 'Dancing Queen', called 'Bailout King'.Over 200 multi-millionaire and billionaire bankers and financiers were in attendance at the annual event so chock-full of power and money that Roose felt that 'if you had dropped a bomb on the roof, global finance as we know it might have ceased to exist'.Older hands at the fraternity, which has existed since the end of the Great Depression, walk around the well-lubricated dinner wearing 'purple velvet moccasins embroidered with the fraternity’s Greek letters'.
One-Percent Jokes and Plutocrats in Drag: What I Saw When I Crashed a Wall Street Secret Society
Recently, our nation’s financial chieftains have been feeling a little unloved. Venture capitalists are comparing the persecution of the rich to the plight of*Jews at Kristallnacht, Wall Street titans are saying that they’re*sick of being beaten up, and this week, a billionaire investor, Wilbur Ross,*proclaimed*that “the 1 percent is being picked on for political reasons.”Ross's statement seemed particularly odd, because two years ago, I met Ross at an event that might single-handedly explain why the rest of the country still hates financial tycoons – the annual black-tie induction ceremony of a secret Wall Street fraternity called Kappa Beta Phi.
Duff P. Anderson (1994)
Silas R. Anthony, Jr. (1993)
Andrew Arno (2001)
Peter A. Atkins (1977)
Walter E. Auch, Jr. (2000)
Sara Ayres (2009)
George L. Ball (1975)
Vincent Banker (2003)
David C. Batten (1981)
Bernard Beal (2007)
Robert Benmosche (2002
James A. Benson (1995)
Jonathan M. Berg (2006)
Alfred R. Berkeley (2000)
Rosemary T. Berkery (2006)
Michael A. Berman (2000)
E. Garrett Bewkes III (1993)
Jessica Bibliowicz (1999)
John Birkelund (1981)
Ronald E. Blaylock (1999)
Michael R. Bloomberg (1995)
Andrew Blum (1972)
Howard L. Blum, Jr. (1986)
Magnus Bocker (2009)
Mike Bodson (2009)
Geoffrey T. Boisi (1989)
The financial world has been rattled by a rash of apparent suicides, with some of the best and brightest among the finance workers who have taken their lives since the start of the year.A majority of the eight suicides of 2014 have been very public demonstrations, which has suicide-prevention experts puzzled.“Jumping is much less common as a method for suicide in general, so I am struck by the number that have occurred in recent months in this industry,” said Dr. Christine Moutier, chief medical officer of the American Foundation for Suicide Prevention.Moutier also discounts the location of the act as being the driver behind the reason for the suicide.
“The suicide-research literature doesn’t help very much with the question of why the method of these suicides is so out in the open,” she added.
MARCH 12: Kenneth Bellando, 28, an investment banker at Levy Capital, was found dead on the sidewalk outside his building on Manhattan’s East Side, after allegedly jumping from the sixth-story roof, sources said.
MARCH 11: Edmund (Eddie) Reilly, 47, a trader at Midtown’s Vertical Group, jumped in front of an LIRR train near the Syosset, NY, train station.
FEB. 28: Autumn Radtke, CEO of First Meta, a cyber-currency exchange firm, was found dead outside her Singapore apartment. The 28-year-old American jumped from a 25-story building, authorities said.
FEB. 18: Li Junjie, a 33-year-old JPMorgan finance pro, leaped to his death from the roof of the company’s 30-story Hong Kong office tower, authorities said.
FEB. 3: Ryan Henry Crane, 37, a JPMorgan executive director who worked in New York, was found dead inside his Stamford, Conn., home. A cause of death in Crane’s case has yet to be determined as authorities await a toxicology report, a spokesperson for the Stamford Police Department said.
JAN. 31: Mike Dueker, 50, chief economist at Russell Investments and a former Federal Reserve bank economist, was found dead at the side of a road that leads to the Tacoma Narrows Bridge in Washington state after jumping a fence and falling down an embankment, according to the Pierce County Sheriff’s Department.
JAN. 28: Gabriel Magee, 39, a vice president with JPMorgan’s corporate and investment bank technology arm in the UK, jumped to his death from the roof of the bank’s 33-story Canary Wharf tower in London.
JAN. 26: William Broeksmit, 58, a former senior risk manager at Deutsche Bank, was found hanged in a house in South Kensington, according to London police.
Exposing what lies beneath the bodies of dead bankers and what lies ahead for us
I feel that this is one of the most important investigations I’ve ever done. If my findings are correct, each of us might soon experience a severe, if not crippling blow to our personal finances, the confiscation of any wealth some of us have been able to accumulate over our lifetimes, and the end of the financial world as we once knew it.* The evidence to support my findings exists in the trail of dead bodies of financial executives across the globe and a missing*Wall Street Journal*Reporter who was working at the Dow Jones news room at the time of his disappearance.
Death Derivatives Emerge From Pension Risks of Living Too Long
By Oliver Suess, Carolyn Bandel and Kevin Crowley*May 16, 2011 7:01 PM EDT
Goldman Sachs Group Inc. (GS),*Deutsche Bank AG (DBK)and*JPMorgan Chase & Co. (JPM), which bundled and sold billions of dollars ofmortgage loans, now want to help investors bet on people’s deaths.Pension funds sitting on more than $23 trillion of assets are buying insurance against the risk their members live longer than expected. Banks are looking to earn fees from packaging that risk into bonds and other securities to sell to investors. The hard part: Finding buyers willing to take the other side of bets that may take 20 years or more to play out.
“Banks are increasingly looking to offer derivative solutions,” said Nardeep Sangha, 43, chief executive officer of Abbey Life Assurance Co., a London-based Deutsche Bank unit that helps pension funds manage the risk of retirees living longer than expected. “Making the long maturity of the risks palatable for investors, including sovereign wealth funds, private-equity firms and specialist funds, is the challenge.”
As insurers reach the limit of how much pension-fund liability they’re willing to shoulder, companies such as JPMorgan and*Prudential Plc (PRU)*last year set up a*trade group*aimed at establishing and standardizing a secondary market for so- called longevity risks. They’re also developing indexes that measure mortality rates and securities to let pension funds pay fixed premiums to investors in return for coverage against major deviations from projections.
Swiss Reinsurance Co., the second-biggest reinsurer, sold the world’s first longevity bond in December in what it called a “test case” to sell risk to the capital markets.‘Run Dry’Goldman Sachs, based in*New York, and Deutsche Bank in Frankfurt have set up insurance companies that promise to pay pensions if retirees live beyond a certain age. They typically receive a portion of the pension plan’s assets in return. The banks, along with*Morgan Stanley (MS),*Credit Suisse Group AG (CSGN)*and*UBS AG (UBSN), are looking for ways to offer this risk to investors.
“Ultimately, reinsurance capacity for longevity risks will run dry, and that’s why it’s imperative that as the market grows and develops it is able to bring in new types of risk-takers,” Sangha said. “The obvious channel is the capital markets.”
Medical advances and healthier lifestyles have made predicting life spans more difficult for pension funds. Life expectancy in the U.K. is increasing by one to three months every year, according to Dutch insurer*Aegon NV. (AGN)*Every year of additional life expectancy typically adds as much as 4 percent to future pension requirements, Aegon said in a*report*in March.Aegon reported last week that first-quarter profit fell 12 percent as the company set aside money to cover the risk of policyholders in the Netherlands living longer than expected.
Pension funds can hedge against life-expectancy risk by transferring assets to an insurer or other counterparty that promises to pay some or all of the future liabilities. Last year,*GlaxoSmithKline Plc (GSK), the U.K.’s biggest drugmaker, became the 10th FTSE 100 firm to buy insurance on about 900 million pounds ($1.5 billion), or 15 percent, of its U.K. obligations.That means Prudential, the U.K.’s largest insurer, rather than the pension fund, will pay some GlaxoSmithKline pensioners should they live longer than expected. Most longevity risk transferred from pension funds is held by insurers.Regulators are just beginning to focus on the new products.“We’re seeing more and more sophisticated mechanisms being offered,” said Bill Galvin, CEO of the*U.K.’s Pensions Regulator. “From a regulatory perspective, we are concerned to ensure that trustees understand the extent to which longevity risk has been passed from their scheme and the precise shape of any residual risk.”