CaP'N GRuNGe Posted March 25, 2009 Share Posted March 25, 2009 Quote Link to comment Share on other sites More sharing options...
driveby Posted March 25, 2009 Share Posted March 25, 2009 A buddy of mine worked at AIG for many years before leaving toward the end of last year. He landed on his feet as a partner in a new investment firm but he's had to lawyer up because his AIG association is causing him legal problems of some sort. Quote Link to comment Share on other sites More sharing options...
Avernus Posted March 25, 2009 Share Posted March 25, 2009 this is beyond refreshing to read....I can only hope what this person says he is doing is true.. we need more people like this waking up to this sort of bullchit Quote Link to comment Share on other sites More sharing options...
tonorator Posted March 25, 2009 Share Posted March 25, 2009 an executive VP who has never met the CEO? seems strange ... Quote Link to comment Share on other sites More sharing options...
Perchoutofwater Posted March 25, 2009 Share Posted March 25, 2009 Well, people like this guy leaving after congress throws a tissy fit are probably going to cost the taxpayers billions. Quote Link to comment Share on other sites More sharing options...
dmarc117 Posted March 25, 2009 Share Posted March 25, 2009 A buddy of mine worked at AIG for many years before leaving toward the end of last year. He landed on his feet as a partner in a new investment firm but he's had to lawyer up because his AIG association is causing him legal problems of some sort. i know he is a buddy of yours, but if he was involved in those trades that crushed the company, f him. Quote Link to comment Share on other sites More sharing options...
driveby Posted March 25, 2009 Share Posted March 25, 2009 i know he is a buddy of yours, but if he was involved in those trades that crushed the company, f him. He wasn't. And I agree with you. Quote Link to comment Share on other sites More sharing options...
Ursa Majoris Posted March 25, 2009 Share Posted March 25, 2009 Well, people like this guy leaving after congress throws a tissy fit are probably going to cost the taxpayers billions. Didn't they already cost us trillions? Quote Link to comment Share on other sites More sharing options...
yo mama Posted March 25, 2009 Share Posted March 25, 2009 (edited) A friend of mine does a lot of this alternative financing hocus pocus. If you believe him, and I do, crucifying AIG and their ilk is not a solution. Changing the way people are allowed to make money in connection with exotic financial services is. People start up, close down, and restart problematic hedge funds all the time. The only way to deal with the bad behavior is by controlling how people are allowed to make money in connection with that behavior: its the only thing these folks will pay attention to. The simplest example would be to more directly tie an individual's compensation to the long-term financial performance of the products and services they sell. For example, if a mortgage broker's commission is paid out over time - and future installments on the commission are contingent on the mortgage's continued and successful repayment - then the mortgage broker becomes far more interested in whether the borrower is credit-worthy. Adopting that type of thinking is far more likely to address the structural problems at the core of our current financial crisis than random, punitive taxation on bonuses. It won't get us out of today's problems, but it would go a long way towards preventing it from happening again in the future. Edited March 25, 2009 by yo mama Quote Link to comment Share on other sites More sharing options...
dmarc117 Posted March 25, 2009 Share Posted March 25, 2009 A friend of mine does a lot of this alternative financing hocus pocus. If you believe him, and I do, crucifying AIG and their ilk is not a solution. Changing the way people are allowed to make money in connection with exotic financial services is. People start up, close down, and restart problematic hedge funds all the time. The only way to deal with the bad behavior is by controlling how people are allowed to make money in connection with that behavior: its the only thing these folks will pay attention to. The simplest example would be to more directly tie an individual's compensation to the long-term financial performance of the products and services they sell. For example, if a mortgage broker's commission is paid out over time - and payment is contingent on the mortgage's repayment - then the mortgage broker becomes far more interested in whether the borrower is credit-worthy. Applying that type of thinking is far more likely to address the structural problems at the core of our current financial crisis. It won't get us out of today's problems, but it would go a long way towards preventing it from happening again in the future. i raised this in one ofthe banking threads. alot of these guys get paid this year on positions that dont expire until several years down the road. those positions can be right and making money this year but be bombs next year. but they got paid on the marks this year. Quote Link to comment Share on other sites More sharing options...
yo mama Posted March 25, 2009 Share Posted March 25, 2009 i raised this in one ofthe banking threads. alot of these guys get paid this year on positions that dont expire until several years down the road. those positions can be right and making money this year but be bombs next year. but they got paid on the marks this year. Exactly. They've got no skin in the game, long-term, so they don't care. Tie their compensation to the long-term success of their services and products and they'll either start to care, or go out of business. Frankly, either would be fine with me. Quote Link to comment Share on other sites More sharing options...
Savage Beatings Posted March 25, 2009 Share Posted March 25, 2009 Very well crafted letter. Quote Link to comment Share on other sites More sharing options...
dmarc117 Posted March 25, 2009 Share Posted March 25, 2009 Exactly. They've got no skin in the game, long-term, so they don't care. Tie their compensation to the long-term success of their services and products and they'll either start to care, or go out of business. Frankly, either would be fine with me. which is why i said we should go after the ceo's of these banks that left in 04,05,06. the garbage trades were put on then, got marked favorably and they got paid huge sums. Quote Link to comment Share on other sites More sharing options...
yo mama Posted March 25, 2009 Share Posted March 25, 2009 (edited) which is why i said we should go after the ceo's of these banks that left in 04,05,06. the garbage trades were put on then, got marked favorably and they got paid huge sums. Assuming Congress is comfortable uncorking retroactive taxation on people as a tool of punishment, they're idiots not to start with these folks. Blindly attacked AIG employees who got bonuses in 2008 is bit like shutting the barn door after the horses have already been collateralized. Edited March 25, 2009 by yo mama Quote Link to comment Share on other sites More sharing options...
dmarc117 Posted March 25, 2009 Share Posted March 25, 2009 Assuming Congress is comfortable uncorking retroactive taxation on people as a tool of punishment, they're idiots not to start with these folks. i agree. slippery slope with govt getting involved. im surprised more shareholder lawsuits havent been filed over this. Quote Link to comment Share on other sites More sharing options...
Ursa Majoris Posted March 25, 2009 Share Posted March 25, 2009 i raised this in one ofthe banking threads. alot of these guys get paid this year on positions that dont expire until several years down the road. those positions can be right and making money this year but be bombs next year. but they got paid on the marks this year. Exactly. They've got no skin in the game, long-term, so they don't care. Tie their compensation to the long-term success of their services and products and they'll either start to care, or go out of business. Frankly, either would be fine with me. Posted the same thing multiple times. Allowing instant profit with no consequences for the longer term is madness. Quote Link to comment Share on other sites More sharing options...
yo mama Posted March 25, 2009 Share Posted March 25, 2009 Posted the same thing multiple times. Allowing instant profit with no consequences for the longer term is madness. For better or worse, that's just laissez-faire capitalism. Quote Link to comment Share on other sites More sharing options...
TimC Posted March 25, 2009 Share Posted March 25, 2009 (edited) Dear Mr. DeSantis, If AIG had gone bankrupt instead of being bailed out, how much of a bonus would you have received? Go be a pansy somewhere else, slacker. It appears with your intelligence level and reasoning, they hand out degrees at M.I.T. for having a face. Signed, The American Taxpayers P.S. Your kids are ugly and I should kick your cat. Edited March 25, 2009 by TimC Quote Link to comment Share on other sites More sharing options...
CaP'N GRuNGe Posted March 25, 2009 Author Share Posted March 25, 2009 For better or worse, that's just laissez-faire capitalism. Must Barney Frank be brought into every thread? Quote Link to comment Share on other sites More sharing options...
yo mama Posted March 25, 2009 Share Posted March 25, 2009 Must Barney Frank be brought into every thread? Only the ones that Az posts in. Quote Link to comment Share on other sites More sharing options...
Cunning Runt Posted March 25, 2009 Share Posted March 25, 2009 Dear Mr. DeSantis, If AIG had gone bankrupt instead of being bailed out, how much of a bonus would you have received? Go be a pansy somewhere else, slacker. It appears with your intelligence level and reasoning, they hand out degrees at M.I.T. for having a face. Signed, The American Taxpayers P.S. Your kids are ugly and I should kick your cat. +1 Quote Link to comment Share on other sites More sharing options...
Perchoutofwater Posted March 25, 2009 Share Posted March 25, 2009 Dear Mr. DeSantis, If AIG had gone bankrupt instead of being bailed out, how much of a bonus would you have received? Go be a pansy somewhere else, slacker. It appears with your intelligence level and reasoning, they hand out degrees at M.I.T. for having a face. Signed, The American Taxpayers P.S. Your kids are ugly and I should kick your cat. Here's my thing. I'd have been fine with AIG going tits up. It probably would have hurt a little bit for a while, but in the long run we probably would have been better off. Some people, primarily those getting campaign contributions form them, though AIG was too big to fail and need a bail-out. If you fall into the category with those of us that wouldn't have minded seeing AIG fail, then be mad at congress, not this guy. If AIG needed to be bailed out, then this guys bonus needed to be paid, otherwise he would have gone somewhere else to work, and the bail out wouldn't have worked, because all the employees would have left. Now there thanks to the over reaction of a congress trying to get our attention off of the amount of money they and Obama are spending have exasperated the AIG problem. I can't see how anyone would work for them now. If you want to be mad at someone, be mad at congress. Quote Link to comment Share on other sites More sharing options...
Cunning Runt Posted March 25, 2009 Share Posted March 25, 2009 If you want to be mad at someone, be mad at congress. Nah. I'm quite comfortable beng pissed at AIG. Congress didn't put us in this mess. Neither did Obama by the way, though I'm sure you'll jump in to tell me he did. Quote Link to comment Share on other sites More sharing options...
Jimmy Neutron Posted March 25, 2009 Share Posted March 25, 2009 Here's my thing. I'd have been fine with AIG going tits up. It probably would have hurt a little bit for a while, but in the long run we probably would have been better off. Some people, primarily those getting campaign contributions form them, though AIG was too big to fail and need a bail-out. If you fall into the category with those of us that wouldn't have minded seeing AIG fail, then be mad at congress, not this guy. If AIG needed to be bailed out, then this guys bonus needed to be paid, otherwise he would have gone somewhere else to work, and the bail out wouldn't have worked, because all the employees would have left. Now there thanks to the over reaction of a congress trying to get our attention off of the amount of money they and Obama are spending have exasperated the AIG problem. I can't see how anyone would work for them now. If you want to be mad at someone, be mad at congress. I think it would have been more than a little painful, but I wish we's have taken that route. It's become routine to bail these companies out and there's a line forming outside the door. It's time to stop all of this nonsense right the hell now and for all of us (governments, businesses and individuals) to put our houses in order. Living on perpetual credit is not living at all. Quote Link to comment Share on other sites More sharing options...
dmarc117 Posted March 25, 2009 Share Posted March 25, 2009 (edited) how come not one politician has returned their political donation from AIG? how come not one politician has agreed to work for $1 until this country is out of debt? Edited March 25, 2009 by dmarc117 Quote Link to comment Share on other sites More sharing options...
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