Impact Of The Credit Crisis On Investment Banks Essay

Impact of the credit crisis on investment banks Essay
Cause of Problems for Financial Institutions during the Credit
Crisis: Select a financial institution that had serious financial problems as a result of the credit crisis. Determine the main underlying causes of the
problems experienced by that financial institution. Explain how these problems might have been avoided.
Table of Contents
I– Credit crisis .................................................................................................... 2
II– Impact of the credit crisis on investment banks ................................. 2
1) Definition of Investment bank ................................................................... 2
2) Impact of the credit crisis on investment bank ... Show more content on Helpwriting.net ...
However, Morgan Stanley also chosen to convert to bank holding companies. п‚· Similarly Wachovia Securities had to rename itself as Wells Fargo
Advisors after being sold to the massive Wells Fargo bank.
Page 3
FINANCIAL MARKETS & INSTITUTIONS
From the table, the companies had existed for a combined total of 549 years, but within the span of six months, they would all be gone. Therefore, we
can see the impact of credit crisis to investment banks is huge.
In this report, to clarify the causes of the problems experienced by investment banks and determine how these problems might have been avoided, I will
show the bankruptcy of Lehman
Brothers– the fourth largest investment bank in the Unites States to analyze these problems.
III1)
Lehman Brothers
Introduction

Lehman Brothers was founded in 1850 by three brothers Henry, Emanuel and Mayer Lehman. It is a stock corporation and the 4th largest investment
bank in the United States.
Main fields of Lehman Brothers are investment bank, trading stocks and bonds, market. Its head office is New York City and two subsidiaries in
London and Tokyo and also many representative offices around the world.
For over 150 years, Lehman Brothers has had a big impact on the financial and commercial history of the United States. The history of this firm follows
the growth of American industry and the formation of the modern corporation. However,
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U.s. Treasury Bond Market
2.U.S. Treasury Bond Market
Yields on U.S. treasury bonds especially on the bonds with a maturity up to one year decreased significantly between 2007 and 2009 as shown in the
graph below. The one–month treasury bond yield decreased from 4.79% in January 2009 to 0.04% in December 2009. In the beginning of 2007 bond
yields were very high and therefore mortgages takers with adjustable–interest rates had high interest payments. All this led to a high number of default
and strong decrease in house prices. This general weaker economic situation led to a decrease in Bond yields. The decrease became even faster at
the end of 2007, when the more creditworthy borrowers were also unable to repay their mortgages. As reaction to the bad economic situation in
2008 the FED has opened its discount window and lowered the discount rate by 1% in order to make it cheaper and easier for banks to access
money. Both lead to a further decrease in the bond yields as people had no more trust in the products sold by investment banks and therefore looked
for save ways to invest their money. One of this save options to invest money is lending money to the U.S. government in forms of U.S. Bonds. So
the change in yields basically happened because there was a high demand for save ways to invest money and therefore a high demand for U.S. bonds.
The high demand for bonds resulted in high prices and thus low yields.
3.Bear Stearns
The failure of Bear Stearns began in 2007 as two hedge funds managed by

Home Loans And Bear Stearns ( Jpmorgan Chase Bank
I was unlucky enough to be front and center working for a homebuilder at the time of the real estate crisis. The mindset of sellers, realtors and
mortgage brokers before the "bubble burst" was something that was very obvious to me as a lack of care for the long term homeowners and their
financial welfare. While the banks like Countrywide Home Loans and Bear Stearns (JPMorgan Chase Bank) were making billions of dollars on
mortgages, they were ridiculous in thinking that this would not come back on them tenfold. How can you purchase a loan and approve it through
underwriting without first verifying the documents were accurate? How could I get a home loan when I was 21 and had a credit score of 1? Well,
this definitely happened. I had a cosigner, of course, but still, the qualifying standards back in 2005 were relaxed to a fault. I liked to think that I was
responsible enough to have this investment in a property to call my own, but we bought at the height of market in Orlando, and only gained in equity
for about 6 months. In 2007, our house was worth $40,000.00 less than what we purchased it for. My home in Orlando was a $1,300.00 monthly
mortgage that I thought I could afford with help from roommates, but quickly found this to be too daunting. I ended up moving out, and thankfully
rented until this year. We finally found a buyer for the house this year, without having to bring any money to closing. This is ten years of mortgage
payments later. All thanks to the

Who Is Mary Callahan Erdoes?
"If you don't master money, it's going to master you." In Money: Master the Game Tony Robbins interviewed 50 of the most influential financial
minds (Schnall, M). With in these 50 people only one woman was chosen, "Mary Callahan Erdoes is the CEO of JP Morgan Chase and is known as
the most powerful woman in finance. She's running one of the most profitable businesses at the country's largest banking company and certainly did
not get this far in her career without a plan. For the past four years, she handled more than $2 trillion in assets for Chase's wealthiest elite customers.
She also helped the company survive many recent targets from regulators and a fairly large turnover of C–suite executives". Faced with many
challenges, Erdoes continues ... Show more content on Helpwriting.net ...
Mary Callahan Erdoes would not likely be where she is today without facing challenges. All companies make profit but that are also responsible
for professional development for their employees, innovative new products for their costumers and generosity to their communities (Lawrence, A.
T., & Weber, J). Mary Callahan Erdoes is Chief Executive Officer of J.P. Morgan Chase, a global lender in investment management and Private
banking with more than $2.2. Trillion in assets under supervision. Bloomberg.com interviewed Mary Callahan Erodoes where she mentions," you
worry just as much about great performance as you do about underperformance. "So we spend a lot of time making sure we know why we're
getting great performance" ( KOPECKI, D). Not only does it create profit but it also creates other values as well as their employees, customers and
communities. Mary Callahan Erdoes was born in August 13, 1967. Patrick Callahan, her father was a former partner at an investment bank Lazard.
Erdoes was the only women who complete a mathematic major at Georgetown at that time. After receiving her bachelor's she was accepted to Harvard
business school where is completed her MBA. Mary Callahan

The Financial Crisis Of The Decade
The financial crisis of the decade is considered the largest and most severe compared to the Great Depression. The crises reshaped the financing and
investment banking business not only in the United States but globally. The top largest banks have fallen due to the losses they have incurred in
connection with their investments in the subprime mortgage markets. (Financial Crises 2007–2008 Overview) Governments had to come up with
some solutions in order to further avert the decline of their country 's economy as the financial crises of the United States overflowed into the global
financial and world economy. (Marshall, n.d).This paper discusses the history of the financial crisis – its causes, impacts, and the responses of
governments and other institutions. The origins of the financial crises The root causes of the financial crisis were a combination of debt and
mortgage–backed assets. While inflation had been going up since the end of the World War the house prices in the United States had been steadily
rising at a much higher rate than the inflation trend. As shown in the chart the fluctuations are few, but the trend had been upward. (Financial Crises
2007–2008 Overview). Prior to the financial crisis with rising prices of housing in the United States banks and investment managers had been looking
for more loans and credit to offer potential homeowners. The funding of credits had been backed by real estate or through investments in construction
companies which were

Lehman Case Study Writeup Essay
Organizational Power and Influence
Lehman Case Analysis
Lewis Glucksman who scrapped his way up through Lehman's unprestigious but increasingly profitable stock–and bond trading department, was able to
take control of the firm after a bitter power struggle against its former CEO, Peter Peterson. Glucksman was victorious in the end as he proved himself
to be an indispensible part of Lehman's operations.
During the times leading up to the power struggle, the power dynamic within Lehman was steadily shifting as trading profits became increasingly more
important to Lehman versus traditional investment banking profits. Thus, Glucksman was able to step into the spot light and Peterson became more
expendable. Peter Peterson's core ... Show more content on Helpwriting.net ...
Historically this has always been a formula for disaster. Justifications for the duality were unconvincing. Peterson was suppose to be the external
client facing image of the company whereas Glucksman was suppose to be the internal executioner of operations. The division of duties may seem
clear but it does not lead to a clear division of power. At the very top of a major Wall Street company, power must be clearly defined and completely
authoritative. If it is not, then human nature and the nature of an organization will eventually find a way to define power. In this case, power was
defined through duties and internal duties won over external duties.
Also contributing to the outcome of the power struggle were structural features that existed across the financial industry. The whole industry is
governed and motivated by profits generated through individual contribution irrespective of the firm's net performance. This particular industry
structure results in the classic inter departmental tensions to maximize the individual department's profits. To a certain extent, Lehman had to comply
with rest of the companies by creating the isolated departmental structure to maintain its top performers. As a result, when a department creates
60–80% of the firm's profit, the power shifts to the department making the most money. Lehman could have created an alternate compensation strategy
to reduce the potential for power struggle between the departments. For example, rather

The Collapse Of Bear Stearns
Jacob Bates
The Collapse of Bear Stearns and What Can Be Learned
Bear Stearns was started in 1923 by Joseph Bear, Robert Stearns and Harold Mayer and was initially and equity trading firm. It was one of the most
respected firms of Wall Street and up until its collapse in March of 2008, had never had a losing quarter in its 85–year history. Bear Stearns had made it
through the Great Depression, World War II, and multiple recessions over its long history. Alan Greenberg took over as CEO in 1978 and the culture
at Bear Stearns began to change. In 1985, with Greenberg at the helm, Bear Stearns created a holding company called 'Bear Stearns Company, Inc" and
officially became an investment firm. According to fundingverse.com and William Ryback [14, 11], earnings soared and they began setting new
company records for earnings. In 1993, James Cayne took over as CEO and steered Bear Stearns through the dot–com boom and the September 11th
attacks. Cayne had made Bear a fortune by trading municipal bonds through the 70's as New York was going through a crisis and nearly declared
bankruptcy. Under Cayne's leadership, Bear Stearns stock price rose six–fold and consistently beat earnings estimates. All was going well until around
2006. That brings us to the root cause of the collapse at Bear Stearns. Bear Stearns had begun investing in subprime mortgages through to funds.
According to the investment website investopedia [7], a subprime mortgage is basically a mortgage that is given to

Financial Crisis Essay
Marconi (2010) believes that the role played by the institutional investors propagated the financial crises. Institutional investors, which is both,
individual or companies do enjoy the benefits of reduced commission preferential regulations. This is due to their large and professional investments.
Institutional investors like the mutual funds, pension funds, hedge funds like Magnetar Capital, and Life insurance companies like the AIG and
investments trusts contributed to the global financial crises of 2007–2008. This financial crisis also referred to as the great recession was triggered by
liquidity problems in the United States economy. Many large financial institutions collapsed according to Geczy (2010). The government had to bail out
... Show more content on Helpwriting.net ...
There were breaches in accounting practices and general breach of business ethics. The bank directors and the chairman are accused of having
certified false financial statements and not disclosing key financial practices in the bank. Among the undisclosed practices was the Repo 105. The
Lehman had been using it from 2001, it involved using the Repos to finance assets and treating them as sold Repos while accounting. This according
to the report was abuse of ordinary repurchase agreements, it was done to lower the banks leverage as was asked of investment banks toward the end
of 2007. The bank at times even involved its subsidiaries. Financial leverage should have been attained by borrowing and investing the same at higher
interest rates. The auditors Ernst &Young have been accused of professional negligence for failing to disclose these practices thus misled the investors
on the financial status of the bank. Some critics cite the complex financial systems and financial investment products to have been the trigger of the
2007–2008 financial crises. According to Laurence (2010), other factors include: failure of effective regulations in the investment markets,
inappropriate credit interests, and self interest practices among the institutional investors. According to Hughes (2011), some critics also argue that the
institutional investors were behaving in irrational manner

Research Investment Banking : Investment Bank
I have chosen to research investment banking. I chose this career because at the moment I do not know which career I am going to choose to
pursue. I do not have many passions but what I do know is, I like money. When I was asking my dad for advice on careers he would ask my
interests or what I was good at and I would answer "I don't know" so he told me to choose something that can make a lot of money. Investment
banking seemed like a good option for that. An investment banker works for a financial institution that helps companies, governments or agencies raise
money. Investment bankers also offer other services such as mergers and acquisition advice, or insights on how to reorganize or open a spin–off. In
smaller organizations that do not have a specific investment banking arm, finance staff will often fulfill the duties that an investment banker would
normally do. Investment bankers mostly work at investment banks such as Goldman Sachs, Morgan Stanley, JPMorgan Chase,Bank of America Merrill
Lynch or Deutsche Bank. Investment banker's main job is to assist in large, complicated financial transactions. These transactions include providing
advice as to how much a company may be worth or how to organize a deal if the investment banker's client is considering an acquisition, merger or
sale. Investment bankers also may have to issue securities as a means of raising money for the client and creating the documentation for the company to
go public. The education

How Well Do You Think The Governance System Of Jpmorgan...
Strategic Management Case Study Assignment Question 1. How well do you think the governance system of JPMorgan Chase is working in protecting
shareholder interests? Corporate governance is a set of actions used to handle the relationship between stakeholders by determining and controlling the
strategic direction and performance of the organization. Corporate governance major concern is making sure that the strategic decisions are effective
and that it paves the way towards strategic competitiveness. (Hitt, Ireland, Hoskisson, 2017, p. 310). In today's corporation, the primary objective of
corporate governance is to align top–level manager's and stakeholders interest. That is why corporate governance is involved when there is a conflict
of interest between with the owners, managers, and members of the board of directors (Hitt, Ireland, Hoskisson, 2017, p. 310–311). There are three
internal and one external governance mechanisms used for owners to govern managers to ensure they comply with their responsibility to satisfy
stakeholders and shareholder's needs. First, ownership concentration is stated as the number of large–block shareholders and the total percentage of the
shares they own (Hitt, Ireland, Hoskisson, 2017, p. 317). Second, the board of directors which are elected by the shareholders. Their primary duty is to
act in the owner's best interest and to monitor and control the businesses top–level managers (Hitt, Ireland, Hoskisson, 2017, p. 319). Third, is the

The Future Of Investment Banking
The Future of Investment Banking
Investment banking is an industry that faces crisis in different forms. First, crisis of trust, which implies that banks ' profit is more important that needs
of their customers. Second, productivity and efficiency crisis with stagnant revenue, increasing costs and low ROE. In order to solve the complex
challenges they face, the investment banks have to focus on transforming their business by being more strategic.
Regulatory pressure, driving up costs, might lead to ROEs further fall. Moreover, clients become less loyal and easily switch to new more nimble
institutions that provide better services by leveraging their technological advances.
Taking into account all aforementioned circumstances, ... Show more content on Helpwriting.net ...
(Ernst&Young, 2015). It is essential for capital markets institutions to upgrade technologies– in–house or through joint ventures, strategic alliances or
acquisitions of 'permitted' technology firms that are closely aligned with banking – to make valuable operational and financial decisions. (KPMG,
2015). Bank must also invest in technology preventing financial crimes and cyber threats. Furthermore, investment banks can enable their staff to
access necessary information to perform their work more efficiently and support better connectivity with clients by using social media and mobile
technology. Technology will enable the bank to transform , to take control, to rebuild trust, to drive efficiency and to become digital.
Client–centric approach
Trust in investment banks has generally been eroded due to a common perception that banks do not operate in the interest of their clients. Not the least
role in the erosion of relationship between banks and their clients played the global financial crisis and attendant scandals. As the result, clients have
diversified their relationships and spread their business across various firms to manage the risk. Moreover, the clients demand better services and are
not willing to pay a premium.
To rebuild trust among clients, public and regulatory, investment banks must focus on their ultimate target

Lehman Brothers : A Worldwide Firm
Company Overview Lehman Brothers Holdings Inc was a worldwide firm, that provided financial service to clients globally. It was established in
1844 by a German immigrant named Henry Lehman in Montgomery, Alabama; as a shop that sold groceries and goods. Emanuel and Mayer were
his younger brothers and they joined the business in 1850 (library.hbs.edu). After Henry's death in 1855, his younger brother started to run the
company. Over the decades, only family members were allowed to become partners, this practice continued until the 1920's. The first New York office
opened in 1858. After the Civil War, their headquarters moved from Alabama to New York. Collectively there was numbers of issues faced by the
group in capital market from the... Show more content on Helpwriting.net ...
Lehman Brothers' major responsibilities were to raise capital for their clients through many ways, including securities underwriting and direct
placements. The value speculation secretly and exchanging of remote trade is the approaches to bring capital up in numerous cases. For capital
rising, they utilized business account administrations and securities barters and exchange. What Went Wrong Lehman Brothers, engaged in risky
business that is the short answer, as one of the largest investment banks in the United States collapsed. The company was over leveraged, they had
borrowed far more than they owned. The company filed for bankruptcy in September 2008, their bankruptcy was the largest in history with $639
billion in assets and $619 billion in debt (Investopedia). Most of their investments were held within commercial real estate, meaning they did not
properly diversify their assets. The company heavily relied on the success of the housing market and in the end, that caused their downfall. Trouble
started in 2003 with the housing boom, mortgage interest rates had greatly decreased. As home prices rose, a low interest rate allowed for 'affordable'
mortgage payments for all buyers. Investors, both foreign and domestic searched for investments that yielded low risk and average returns, their answer
came in the form of mortgage backed securities. Investors and Wall Street firms

The Success Of A Business Finance For A Large Fortune 500...
Coming into college, I was quite certain I would go into corporate finance for a large Fortune 500 company, and try to slowly work my way to the
top of the company. I had aspirations of being a CEO. As freshmen year ran its course, I developed an interest in banking. From what I read online, the
profession seemed to encompass everything I was looking for in a career. These interests included a challenging, yet rewarding career, a heavy
analytical/numbers focus, communication driven, and extensive exit opportunities.
A challenging, and rewarding career has always been a requirement when planning my future. When choosing a career, children are often told to do
what they love. I knew from an early age that I liked being challenged, and using ... Show more content on Helpwriting.net ...
Finally, working for two years as an analyst has some of the best exit opportunities available in business. The door is open for me to transition to a
private equity firm, a hedge fund, or stay with the bank.
I plan on landing my first professional experience through the Investment Banking Workshop. The workshop boasts an impressive 100% job
placement. The difficult part is actually getting accepted into the workshop. The application opens on January 1st, 2016. I will need to network with
current members of the club, and begin to prepare for the interview process. I have been working towards the goal of entering the workshop since
early freshman year. I believe I am on the right track, and will put in all the work necessary to ensure the highest chance at success.
After gaining acceptance, I will network and prepare for my 1st semester junior year interviews to gain an internship. Ideally, I would like to work
for a bulge bracket bank. Bulge bracket banks offer the best deal flow, along with superior exit opportunities. While I have these preconceived
opinions, I think my decision will be made based on gut–feeling while networking with the banks. Meeting with actual employees, in my experience,
has been the best way to know if I fit with the culture of the bank.
After landing the internship, I plan to work extremely hard

Iceland Economic Crisis Essay
In 2008, there was global economic crisis that people lost their jobs, savings and homes. Iceland has a stable democracy, but they have low
employment and government debt. Gylfi Zoega said Iceland had good health care and education. Also, not much crime and good place where families
can live. Iceland allowed multinational corporations, such as Alcoa, it build huge aluminum–smelting plants. In Iceland, the government privatized
their 3 largest banks. The 3 banks borrowed 120 billion dollars. The stock prices and houses prices were doubled. In 2008, the Iceland bank fell, the
employment increased in the last 6 months. A lot people lost their savings. On September 15, 2008, the biggest investment banks were forced to
declare itself bankrupt.... Show more content on Helpwriting.net ...
Later, Robert Rubin made 126 million as Vice Chairman of Citigroup. In 1990s, there were $5 trillion investment losses Eliot Spitzer revealed that
investment banks made Internet companies they will fail. In 2002, there were 10 investment banks settled the case for $1.4 billion. In 1998, CFTC
made a proposal to regulate derivatives. Phil Gramm left eh Senate, he became the Vice–Chairman of UBS. Later, Larry Summers made $20 million as
a consultant to relied on derivatives. In 2000, the Congress passed the Commodity Futures Modernization Act, it banned the regulation of derivatives.
Between 2001 and 2003, mortgage loans increased. In 2000, there were increase of risky loans called subprime. The U.S housing prices increased and
doubled. The Securities and Exchange Commission had no major investigations of investment banks. More the banks borrowed, the leverage gets
higher. In 2004, leverage limited on the investment banks. The world's largest insurance company, AIG, sold huge quantities of derivatives called
credit default swaps. Raghuram Rajan made article about global meltdown and said more profits, more risk. Jonathan Alpert was a therapist for clients
who have high–level Wall Street executive. Kristin Davis had prostitution ring, it was located near New York Stock Exchange. Borrowers had to
borrow. 99.3 percent of prices of the house. Goldman Sachs sold about $3.1 billion worth of CDOs. Paulson had sold his

William David Coh An American Business Writer Essay
About the author:
William David Cohan is an American business writer. He has written three books about business and economics and is a contributing editor at
Vanity Fair. Prior to becoming a journalist, he worked on Wall Street for seventeen years. He spent six years at Lazard FrГЁres in New York, then
Merrill Lynch & Co., and later became a managing director at JP Morgan Chase. He also worked for two years at GE Capital. Cohan is a graduate of
Duke University, Columbia University School of Journalism, and Columbia University Graduate School of Business. (Source: Wikipedia.org)
House of Cards describes in particular the complicated series of events that led to the downfall of Bear Sterns in March 2008. Its actual appeal,
however, deduces from its complete and careful analysis of the history of the firm since its origination as an upstart brokerage firm in 1923 and a
gripping account of the demise of Bear Sterns in 2007. This failure prognosticated a lot of issues that would eventually stultify the firm, and the author
puts forward that its deviation from various historical operating practices led to its ultimate sale to JPMorgan Chase at $10 per share, down from over
$170 just a year earlier.
Cohan, also the author of "The Last Tycoons," a 2007 book about Lazard FrГЁres & Company, gives us in this book a shuddery, almost microscopic
account of the 10, vertigo inducing days that disclosed Bear Stearns to be a fragile house of cards in a perfect storm.
Why I choose this book?

The SWOT Analysis Of JP Morgan Chase
SWOT Analysis of JP Morgan JP Morgan and Chase (JPMC) is the top fanatical service of US market and the biggest bank in US. JPCM with its
exceptional 5 different business segments, which are corporate and investment banking (CIB), consumer and community banking (CCB), asset and
wealth management (AWM), commercial banking (CB) and corporate entity. Strengths in the SWOC Analysis of JP Morgan Chase: JP Morgan
Chase is a leading player in the global financial services: JPMC has operations in over 100 countries and serves various customers, businesses,
institutions and government clients. JP Morgan Chase has strong liquidity and capital. According to annual report 2016, the capital ratio has reached to
over 15%, far more beyond the Basel... Show more content on Helpwriting.net ...
This may affect the long–term growth of JPMorgan Chase. The company can not cope with the challenges of the new round of entrants, and the lack of
market share in the niche category. JPMorgan must establish an internal feedback mechanism directly from within the sales team to address these
challenges. JP Morgan 's profitability and net contribution rate is lower than the industry average. Compared with competitors, product demand
forecast is not very good, leading to higher missed opportunities. One of the reasons for the high daily inventory compared to its competitors is that
J.P.Morgan Chase does not need to be forecasted, and ultimately maintains a higher inventory both internally and in the channel Opportunities in the
SWOC Analysis of JP Morgan Chase: Lower inflation makes the market more stable, enabling JPMorgan Chase customers to get credit at a lower
interest rate. "Government green drive also opens an opportunity for procurement of J.P. Morgan Chase products by the state as well as federal
government contractors.", which means new tax policies may have a significant impact on the way they operate and provide new opportunities for
more profitable capabilities for existing participants such as JPMorgan Chase. The new technology provides opportunities for JPMorgan Chase to
implement a differentiated pricing strategy in new markets. This will enable the company to maintain its loyal customers with good service and attract
new customers

Morgan Stanley : Marketing Mix Recommendations On The...
Marketing Mix Recommendations
Product
Morgan Stanley offers three major product segments, which are institutional securities, wealth management and investment management. Morgan
Stanley can either do the following
1.Increase their growth into other markets by lobbying the government for a repeal in parts of the Glass–Steagall act which separated commercial
banking and investment banking. This in turn will allow Morgan Stanley to compete in a different segment on the banking market.
2. Focus on growing the investment management segment of their business. Data below suggests this.
Revenue
Profit
% change in revenue
% change in profit
Institutional securities Q3 2016
4553
1383
–0.038875467
–0.106290672
Wealth Management Q3 2016
3881
901
0.087348621
0.241953385

Investment management Q3 2016
552
97
0.222826087
0.350515464
Institutional securities Q3 2017
4376
1236
0
0
Wealth Management Q3 2017
4220
1119
0
0
Investment management Q3 2017
675
131
0
0
From this data we can interpret that institutional securities have suffered in Q3 of 2017 but investment management sees a very high growth rate
despite being the relatively small portion of revenue. There was about a 35% growth in profit and about a 22% increase in revenue. Focusing more on
growing the investment management segment should allow for Morgan Stanley to deliver value to its consumers and shareholders.
3. Develop an internal system which is less susceptible to internal and external threats. This is one of the vital points in Morgan Stanley's business
which is a challenge for them. Back in 2010 one of their brokers, Mr.Wyatt took clients money and invested it in a risky manner. This was due to
lack of proper internal protocol to limit risk and to identify and fix the problems caused by Mr.Wyatt. Their also are external threats to their product
which is talent poaching, a recent example is one of Morgan Stanley's adviser's being recruited by a competitor bank. When this happens the adviser
usually takes the clients money they managed and it ends up as lost revenue for the bank. This also leads to a branding issue which will be discussed
price portion of the analysis.

Promotion
The promotion aspect of the marketing mix

Case Study : The Move Came After Bear Stearns
The move came after Bear Stearns was bleeding cash after word spread about the company's crumbling position. European banks and other brokerage
clients were pulling their investments and loans with Bear Stearns rapidly–and the company was losing billions in a week. In a swift move, the CEO of
Bear Stearns, Alan Schwartz, was connected with the FED Chairman Ben Bernake, who agreed to loan money to JPMorgan if the financier company
took over the quickly deteriorating Bear Stearns. It is argued that the FED was right in doing so as this move not save one of the largest American
investment banks thus preventing a crushing blow to the US economy.
regulators have followed a different restructuring procedure? Which one? What would have been the main pros and cons of your proposed resolution
tool?
Regulators could have followed a different restructuring procedure. I suggest debt restructuring because I believe that Bear had enough assets and
liabilities to defend against the impending losses. First, debt restructuring is a process that would have enabled Bear to reduced financial distress by
either reducing or renegotiating its debts or order to improve liquidity and reduce insolvency so that it may resume normal operations profitably and
efficiently. For example, the bondholders at Bear should have borne the losses by agreeing to shift a sum of their assets down in the capital structure
by swapping debt in exchange for equity (either common or preferred). This effectively enables

Bear Steearns Essay
Bear Stearns was founded on May 1st, 1923, by Joseph Ainslie Bear, Robert B. Stearns and Harold C. Mayer Sr., as an equity trading house with only
$500,000 in capital. Bear Stearns became a publicly traded company in 1985. As a global investment bank, securities trading and brokerage firm, its
main business areas were capital markets, investment banking, wealth management and global clearing services. Bear Stearns was the 5th largest
investment bank with two subsidiary hedge funds, The High–Grade Structured Credit Strategies Master Fund and The High–Grade Structured Credit
Strategies Enhanced Leverage Fund Funds created in 2003 and 2006 respectively Funds comprised of derivatives backed by home mortgages. The
long successful history of Bear Stearns took a turn for the ... Show more content on Helpwriting.net ...
A firm understanding of the events that led up to the financial crisis of 2008 is an essential learning lesson to all Americans, the recession
experienced in the United States was felt globally. The collapsed of Bear Stearns was the beginning of a financial disaster that would take years to
offset. The fall of Bear Stearns was so important to the financial history of the American economy, Professors at Harvard University developed a case
study and in 2009 and began to teach the case study jointly to first year finance and corporate leadership classes. In the 'Rise and Fall of Bear Stearns'
by Alan Greenberg he states "A very high proportion of Bear Stearns' personnel had invested the bulk of their life savings in Bear Stearns stock.
Liquidation would render the stock worthless and put more than 14,000 people on the street." Ultimately, he collapsed did not only affect the public
and stakeholder's but even the very people who aided in this crisis. The effects were absolutely

bear stearns
SArajevo School of science and technology Bear Stearns Collapse 2007 A short analysis ISMAR HOTA Table of Contents Introduction3 Literature
Review3 Methodology4 Analysis5 Introduction5 About Bear Stearns6 The Culture at Bear Stearns6 The Collapse of Bear Sterns7 The Ethical Issues
behind the Bear Stearns Collapse8 What are subprime mortgages and its Ethical Failures?8 The Lack of Corporate Governance at Bear Sterns9 Moral
Hazard at Bear Stearns10 Non Ethical Conduct of the Regulators11 Conclusion11 Work Cited13 Introduction This paper will presents the demise of
Bear Stearns, the fifth biggest US investment bank at the time. It is broken down into two parts, analysis and conclusion. The analysis of this paper...
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This matter is subject to a deeper analysis. It can be looked at from a number of perspectives including anthropological, cultural and psychological.
The paper design is presented in a form of a case study which aims to present to the reader the case and has a goal to teach the reader with key
issues which were responsible for the financial crisis of 2008 i.e., over landing subprime mortgages, speculations which led to inflated prices and
eventually burst the housing bubble causing the banks to be stuck with large amounts of toxic worthless assets etc. The case study gives a concise
explanation and the analysis of the ethical/unethical conduct at Bear Stearns which brought it to its demise. It uses this company example to present
the key learning objectives to the reader. The strategy used this besides presenting the findings in the case study form also uses narrative research
technique which gives an insight of the Bear Stearns' culture and its business. This case study by no means gives the opinion of the author and solely
bases its conclusions on the materials used to design the paper. Therefore, the conclusions are built upon deductive reasoning based on the information
available about the financial markets and bout Bear Stearns. Analysis The analysis is going to briefly introduce Bear Stearns by presenting its business
activities and its culture. It will then talk about the collapse of Bear Stearns and then

Theu.s. Justice Department And Jpmorgan Chase
It may not count as classic but it will count as epic in the history books when all is said and done. I am referring to the negotiation between the U.S
Justice Department and JPMorgan Chase. The fines stem from illegal actions taken by JPMorgan Chase and by Washington Mutual (a bank purchased
by Chase in 2008) and Bears Stearns (purchased by Chase in 2008). The government investigated so–called "toxic loans" made by all these companies
prior to the 2008 financial crisis. They provided loans to people who could not afford them at high rates and then bundled them and sold them to
investors without disclosing the riskiness of the initial loans. The bank was being investigated under the Financial Fraud Enforcement Task Force. This
group... Show more content on Helpwriting.net ...
The task force steering committee is made up of the Department of Justice, Department of the Treasury, Department of Housing & Urban Development
(HUD), and the Securities and Exchange Commission (SEC). The investigators would also work with local authorities to "investigate and prosecute
significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, address discrimination in the lending and
financial markets and recover proceeds for victims." (Justice News, 2008). Leading the investigators in the JPMorgan Chase case was U.S. Attorney
Benjamin Wagner. The Vice Chairman of the taskforce steering committee is Assistant Attorney General Anthony West. He was one of the lead
negotiators for the government in the Chase case. Multiple states Attorneys General offices took part as many were involved in separate lawsuits in
their respective states against Chase for their business practices prior to the 2008 crises. After making multiple offers via their lawyers, Chase
President and CEO Jamie Dimon stepped in to the lead the negotiations on behalf of his company instead of relying on outside agents or corporate
lawyers to represent the company. The outcome was one of the largest fines in history against a single entity by the government. In fact until less than a

Bear Stearns
Question 5
Yes I believe Bear Stearns failure coupled with Merrill Lynch's acquisition by Bank of America and Lehmann Brother demise put a negative spin on
pure play investment banks whilst highlighting the benefits of the Universal Bank model.
Pure play investment banks face multiple concerns about their model. Regarding their source of funding, they typically relied on short term funding,
especially repo transactions, when this source dried up in the case of Bear Stearns, it led to serious problems. Pure play investment Banks have had to
utilise unsecured long term financing, which in turn leads to increased cost of capital.
Concerning increased cost, this adversely affects profitability. Pure play investment banks are facing a reduced demand ... Show more content on
Helpwriting.net ...
This law is usually blamed as being one of the critical deregulatory factors that led to the financial crisis. The important bits of the GLB act are that
it repealed huge portions of the Glass Steagall Act (NY Times, 1933), an act that was passed in response to the Great Depression. The Glass Steagall
act made the separation of commercial and investment banks compulsory. It has been argued that the repeal of this act through the GLB allowed
banks get too big and the credit crisis might have been averted if the GLB had not being enacted (NY Times, 1933).
Without the GLB act, Bank of America and Citigroup would not exist today in their current model. Although, European Banks which are arguably
more firmly regulated and have their version of the Glass Steagall Act, were not immune from the financial crisis either. All that is to say, the credit
crisis might have still occurred even if Glass Steagall was in place, over/under regulation is not the answer, allowing an efficient market to correct itself
is much more

JP Morgan Chase Catastrophe
In the year of 2007, the Great Recession began. It all started at the bustling Wall Street. It was a pandemic that brought dilemma to the businesses, to
the employees and to the elated new home owners. JP Morgan Chase was one of the major banks participated in falsifying the mortgage loans, and
they suffered consequences for what they did. The mortgage loans gave temporary joy but longtime misery to home buyers. The federal government
filed a lawsuit, and it reached a settlement. The tragedy resulted to Global and Financial reforms. The mortgage loans were used in risky businesses.
Back in 2008, James Dimon, the head of JPMorgan Chase, disclosed mortgage underwriting was terrible. Mortgage loans are assets that were exploited
to make up collateralized debt obligations. They were also destructively utilized in investing of the banks. The mortgages seemed improved, and they
were swiftly sold because the bank attuned the critical assessments when an outside analysis exposed intense defects with thousands of home loans. In
consequence, millions of Americans were unable to put their homes on market because they had lost so much worth as the housing market dropped.
Gretchen Morgenson, writer from NY Times, dubbed the loans as "poisonous." Due to the bank malpractices, they faced criticisms. From 2005 to 2008,
the bank confessed to a statement of facts that figured how it crashed to totally unveil the hazards of buying uncertain mortgage securities. In March
2013,

The Financial Industry: Bear Stearns
In 2008, the financial industry dominated the market. Bankers were giving themselves hefty bonuses with which they purchased yachts, vacation
homes, jets, cars, etc. "Finance is supposed to be a service industry, an aid to the business of genuine wealth creation," says Sean Corrigan, who
oversees more than $8 billion as chief investment strategist at Diapason Commodities Management in Lausanne, Switzerland. "Once we accord banks
the sort of overblown importance they have enjoyed this past quarter of a century, we become hostage to the megalomania of their executives and head
traders." (Gilbert, 2010) The unrestrained banking industry created so much wealth over a ten–year period of time creating excess profits in the
financial sector of... Show more content on Helpwriting.net ...
AIG was one of the world's biggest insurers. The insurance company provides life insurance and retirement services, insurance products for
commercial and institutional customers and mortgage insurance. In 2007 AIG had $64 billion in AAA CDO contract debts. AIG continued to post
losses each quarter of near $20 billion for the next year. With $180 billion the government bailed out AIG and took over the company, controlling
nearly 80% of its stock and replacing management. The Financial Crisis Inquiry Commission stated in January 2011 (FCIC report): "The Commission
concludes AIG failed and was rescued by the government primarily because its enormous sales of credit default swaps were made without putting up
the initial collateral, setting aside capital reserves, or hedging its exposure – a profound failure in corporate governance, particularly its risk
management practices. AIG's failure was possible because of the sweeping deregulation of over–the–counter (OTC) derivatives, including credit default
swaps, which effectively eliminated federal and state regulation of these products, including capital and margin requirements that would have lessened
the likelihood of AIG's failure" (The Financial Crisis Inquiry Commission,

The Financial Crisis Of 2008-2009
The financial crisis of 2008–2009 was an extremely significant event in recent history and has been described as "perhaps the most important
economic event since the Great Depression" (Gorton & Metrick, 2012, p.g. 150). We are still experiencing the effects of the crisis today and there is
a considerable amount of literature on the subject. There has been much research into the crisis and what caused it (Gorton and Metrick, 2012). Using
some of this research both the causes and effects of the financial crisis can be explored. This essay will discuss what happened in the months leading
up to the crisis, the causes and effects of the financial crisis and tackles some of the questions that researchers have asked regarding the events of
2008–2009.
Mishkin (2011) discussed the idea that when analysing the causes of the financial crisis the events should be split into two separate periods. The period
occurring towards the end of 2007 and beginning of 2008, which involved lending within subprime markets and the end of the housing bubble, and the
second occurring in September 2008, beginning with the bankruptcy of Lehman Brothers (Mishkin, 2011, Gorton & Metrick, 2012).
Although the start of the financial crisis is thought of by most to be in September 2008, when investment bank Lehman Brothers declared bankruptcy,
some of the main contributing factors actually occurred prior to 2008. During the early 2000's interest rates were low and as a result more people
were able to afford

Bear Stearns & Co Essay
CASE: Quality of Earnings #2 – Bear Stearns & Co
1. What is Blockbuster's amortization timetable? Do you think it is appropriate?
The amortization timetable of Blockbuster is 40 years. In my opinion as an investor's perspective, it is not appropriate because of this is not as per the
SEC standard of 5–7 years. 2. What would be the impact on Blockbuster's 1988 earnings per share if 5 amortization were applied to this goodwill?
If the 5–year amortization were applied in its place of the 40–year timetable, then it is necessary for Blockbuster to identify the goodwill in larger
amounts. This would increase tax liability of Blockbuster, which would have represented a loss of $0.09 (0.58 – 0.49) per share | 1988| 40 Yrs. ... Show
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Over what period does BV depreciate its "base stock" videotapes?
Blockbuster depreciates its "base stock" videotapes over 36–month, using a straight–line amortization period. 5. What was the effect on earnings per
share of the change in depreciation method for 'hit" tapes (assume that hit tapes made up 25% of new tape purchases, and that the average hit tape was
owned for half the year)?
If the depreciation method changes from straight–line method to accelerated method then, depreciation expense would be increase and net income
would decrease. The EPS ratio would represent a loss of $0.19 per share.
EPS = (Net Income – Dividend on preferred stock)/Average Outstanding Share | 1988| 1987| Videocassette rental inventory| 76,390,000.00 | 19,600.00
| Less: Accumulated amortization| (16,096,000.00)| (3,211.00)| Videocassette rental inventory Book Value| 60,294,000.00 | 16,389.00 | New Tape
Purchase| 76,373,611.00 | | New "hit" Tape Purchase| 19,093,402.75 | | Depreciation Under Previous Method for "hit"| 12,728,935.17 | | Depreciation
Under New Method "hit"| 3,182,233.79 | | Net Income Before Taxes (before Adjustment)|

The Conceptual Frame On Well Fargo
The conceptual frame on Well Fargo: The future of a community Bank
Well Fargo is a business which were established by two former express massager in 1852 Well Fargo business strategy is the focus of the community
is the business strategy for Well Fargo, the financial unstable during the early 2005 band the major revenue which had a large earnings and revenue in
2007. The financial institution has received earning but at the same time has lost revenue. This was due to the recession the world was going through.
The competition: Well Fargo competition has increased in 2009 due the bankrupted of financial institution. Well Fargo is facing increase pressure from
the other top financial institution in the world, Bank of America, J.P. Morgan Chase, ContiGroup, and PNCFinancial Services.
Bank of America is the largest of the financial institution and the world wealth management companies. And have over 20, 000 financial advisors
available to assist and asset the companies needs. The competition from JP Morgan is that Morgan is a very diversity bank, providing service from
investments to treasury and security services. .
The products provided by Well Fargo were diversity, providing banking, insurance, mortgage banking, investment banking, retail banking, and
brokerage and consumer financing, Well Fargo understood that one product couldn't satisfy the need of all, that was the reason that the company
offered many different type of products.
Technology, Well Fargo has the

Troubled Asset Relief Program Essay
United States has long been portrayed as the country that has the biggest economy in the world. In fact, United States have the highest gross domestic
product which known for its strong economic growth and sustainability, for its currency as an standard unit currency for international trading market,
and for its significant influence and impact to the world market as the leading global trader. Furthermore, United States was able to surpass other
countries as it is able to accumulate its capital more quickly through its extensive capitalistic approach. However, the market of the United States
suddenly collapsed and immediately resulted in the inevitable economic breakdown in late 2000's until late 2010s. This is evident through the book of
Keith ... Show more content on Helpwriting.net ...
In fact, the government intervention was necessary for the banks not to loss hundred percent of their assets and to further save its financial sector as
much as banks never wanted to go bankrupt as banks' do have businesses based on and trust and solvency record. Thus, the United States established
the Troubled Asset Relief Program or TARP with a purpose of insuring all the troubled assets and reinforcing the banks with more capitals for them to
further able to operate and withstand losses where in fact, $700 billion was allotted in this program. With the help of Troubled Asset Relief Program,
the government and the Federal Reserve were able to help JP Morgan Chase to buyout Bear Stearns with $10 per share compared to JP Morgan
Chase's offer of $2 per share. Furthermore, the Federal Reserve and Treasury expanded another $30 billion into the fund of Troubled Asset Relief
Program to completely accommodate the bailout cost of American International Group, which received an overall total bailout amount of $85 billion.
Moreover, the United States government turned out buying out a third of Citi company to save it from going under. Thus, it is clearly shows that both
the government and the Federal Reserve play a crucial role in the hopes of recovery of the financial sector of the United

Research Paper On Bear Stearns
A brief introduction
Bear Stearns was based in New York and was one of the world's largest investment banks,
Securities trader and brokerage firm. It is primarily involved in capital market activities, including
Stock, bond trading and investment banking (80%); wealth management (8%). And the World
Clearing services.
The company was founded as a stock trade house in 1923 by Joseph Bear, Robert Stearns,
And Harold Mayer. Company survived the collapse of Wall Street in 1929 and opened its first branch
Office in Chicago in 1933, and established himself at a later time in 10 other US cities. It opened abroad
Office in 1985 in Amsterdam and eventually expanded to 12 sites covering Europe, Asia,
And South America.
The primary customers include companies and financial institutions, hedge funds, governments,
And individuals. Included company's corporate finance, mergers and acquisitions,
Institutional equities and fixed income sales and trading, research, and private wealth management
Financial services, derivatives, foreign exchange and futures trading, asset management and custody
Services. Through the main subsidiary, Bear Stearns Securities Corporation, that it had conducted the world
Clearing services to broker dealers and professional traders and a large lender security.
By the end of 2007 the balance sheet showed $ 395 billion in assets ... Show more content on Helpwriting.net ...
that together managed some $20 billion, High Grade Structured Credit Strategies Enhanced Leverage Fund and High Grade Structured Credit
Strategies Fund, found themselves on the losing side of their subprime bets (Made in the form of investments in CDOs)., consists of complex
derivatives backed by mortgages The first one is three years old, and had 40 consecutive months without a loss., but as the housing market began to
stutter in late 2006 suffered returns. It has been collected in this fund 35 times the money invested

Glass Steagall And The Financial Crisis
Glass–Steagall and the Financial Crisis In May 2012 JP Morgan Chase and Co. stated to the public a 2 billion dollar trading loss, although
evidence shows that the loss was far greater. A trader out of the London branch of JP Morgan and Chase Co., Bruno Iksil, dubbed "London Whale,"
had been accruing a huge bet on U.S. corporate bonds based on a flawed derivative or algorithm. He was so confident in his bet that he sold his
Credit Default Swaps (CDS), based on his hunch, which is similar to insurance on your bonds if they default. Rival traders bought them, betting against
Iksil. The loss was gigantic. Similarly, prior to the great depression, banks were making large unsafe bets which caused the stock market to eventually
crash causing... Show more content on Helpwriting.net ...
The Glass–Steagall Act was specifically fabricated to prevent the type of close interaction between commercial and investment banks that preceded that
imminent crash during the late 1920's. Commercial banks are banks that accept deposits, secure loans and are insured by the Federal Deposit Insurance
Cooperation (FDIC). Investment banks, on the other hand, make riskier speculative bets. They invest in stocks, bonds and engage in a variety of
speculative deals with their money. With investment and commercial banks being in such close quarters, the deposits in the commercial banks can
potentially be used for speculative activities because of the investment banks' influence. Glass–Steagall provided separation with three main goals: (1)
prohibit commercial banks from owning securities brokerage firms (2) establish a temporary insurance program under the federal reserve (3) prohibit
paying interest on commercial checking accounts and put maximum interest rate values on savings accounts. In July 2010, the Dodd–Frank Wall Street
Reform and Consumer Protection Act came into effect by identifying large financial firms that are intertwined with the rest of the financial systems and
increasing regulations on them to try and prevent failure and possible bailouts. Roy C. Smith, author of The Dilemma of bailouts, states, "The
legislative process soon became

What Is Jp Morgan Chase
JP Morgan Chase is a member of several leading organizations that address environmental and social issues in business. These include:
> Center for Climate and Energy Solutions (C2ES) Business Environmental Leadership Council вЂЁ
> Ceres вЂЁ
> United Nations Environment Programme Finance Initiative вЂЁ
> World Business Council for Sustainable Development
JP Morgan uses internationally recognized principles to assess environmental and social impact. These include:
> The United Nations Universal Declaration of Human Rights вЂЁ
> The Wolfsberg Principles (anti–money laundering) вЂЁ
> The Equator Principles вЂЁ
> The Carbon Principles вЂЁ
> The Green Bond Principles вЂЁ
> The Extractive Industries Transparency Initiative вЂЁ
> United Nations Principles for ... Show more content on Helpwriting.net ...
Global Energy and Greenhouse Gas Reductions
In 2012, JPMorgan Chase achieved its goal to reduce its global GHG emissions by 20% from a 2005 baseline and has extended that target to a 50%
reduction from the 2005 baseline by 2020. Their Global Real Estate group applies best practices in energy efficiency, energy procurement, and resource
management throughout their global operations to reduce energy use and GHG emissions.
B. Paper Procurement
JP Morgan Chase believes strongly in the importance of ensuring that the paper they use is sourced from sustainably–managed forests, which provide
many significant long–term benefits for the environment and local communities, including timber for paper and other wood products, ecosystem
services such as clean air and water, habitat for wildlife and biodiversity, and recreation opportunities. As a result, they seek to maximize the use of
paper that has been independently–certified by the Forest Stewardship Council or Sustainable Forestry Initiative. Their primary focus is on office
copy–paper and customer–facing paper used in the daily operations of corporate and retail branch facilities, as well as customer–facing paper including
statements and

Bear Stearns Bailout
Bear Stearns Bailout "The Fed did not bailout Bear at taxpayer expense, but enabled – as it is mandated – the financial markets to continue to function.
History will call the Fed's action the right move at the right time", says Jeremy Siegel, Ph.D. The Bear Stearns Company began a financial meltdown
in July 2007. By March 2008, it was ready to file Chapter 11 bankruptcy. Some people believe that the Federal Reserve should not have stepped in to
bailout Bear Stearns because it was rewarding reckless business behavior and Bear should have been left to file bankruptcy. The deal of Bear Stearns
was not a government bailout; it was rather a loan to preserve jobs, homes, savings, the economy, the shareholders of Bear, and the financial... Show
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In November 2007, Bear reported $288.5 billion in client accounts, and was selling the company for $30 billion to JPMorgan. The value of Bear
Stearns has yet to be determined. There is no real vauation of their assets; therefore, there are no buyers who are willing to purchase Bear for cash. As
of November 30, 2007, according to the New York Times, Stearns had $46 billion on its books that included mortgages, mortgage
–backed securities,
and asset backed securities. They announced that the annual report showed $29 billion of these assets were generated by a computer model. The other
$17 billion were determined by estimates from internal company developed models. The means by which Bear Stearns estimated their total assests
were calculated gobally, this means that their estimates may not be accurated due to the different financial and banking standards around the world .
This implies that hundreds of billions of dollars in asset–backed securities may be fabricated capital (The Ediorial Board 3).
Several factors could have affected our nation if the Federal Reserve did not step in and bail out Bear Stearns. One factor is our economy. If half of
the Bear Stearns' employees were laid off, the unemployment rate would increase and would affect the working class throughout the nation, and jobs
would become harder to

Jp Morgan Background Summary
JPMorgan
Corporate Finance – Energy Investment Banking, Houston
JPMorgan Chase & Co. (NYSE: JPM) is a leading global financial services firm with assets of $2.2 trillion and operations in more than 60 countries.
The firm is a leader in investment banking, financial services for consumers, small business and commercial banking, financial transaction processing,
asset management, and private equity. A component of the Dow Jones Industrial Average, JPMorgan Chase serves millions of consumers in the United
States and many of the world's most prominent corporate, institutional and government clients under its J.P. Morgan, Chase and WaMu brands.
J.P. Morgan offers M&A advisory, capital markets, prime brokerage, restructuring, risk and... Show more content on Helpwriting.net ...
In the European marketplace J.P. Morgan is an active participant in most of the liquid physical and financial power markets, including Germany,
France, UK and Nordpool. With our sophisticated operations platform, we have developed expertise in moving electricity across most European cross
border transmission networks. We have executed a broad range of sophisticated derivative transactions, including cross–commodity power spreads
(Coal/Power, Gas/Power), short–term options, integrated tolling contracts and asset based financing.
Natural Gas Leading market maker in swaps and options Significant presence in NYMEX futures and options Extensive geographic basis trading
capability with over 40 locations actively traded in North America Manage physical gas storage both physically and financially Active short & long
term physical and financial traders in most European gas hubs (UK NBP, Zeebrugge and TTF). We also provide risk management solutions to North
Sea physical gas producers, UK and continental utilities and major gas consumers (steel, ceramics, gas and fertilizer industries) Work with J.P. Morgan
principal investments group to identify potential physical asset (storage, upstream assets, transportation) investment
Assignments
As a Corporate Finance analyst in Energy Investment Banking, Houston, you will

Bear Stearns Research Paper
The day Bear Stearns fell was one of the worse financial upsets of our time. As a major American investment company, they ran out of money. Bear
Stearns was definitely one of the most exposed to the subprime mortgage crisis after being hit hard in the summer of 2007 when two of its hedge
funds crashed. The Federal Reserve and JP Morgan Chase orchestrated an extraordinary rescue attempt that allowed Bear Stearns to borrow
emergency money to stay alive and steady. Consequently, in an effort to prevent a crisis on Wall Street. The nation's central bank, the Federal
Reserve, backed the loan helping to prevent the collapse of Bear Stearns and to stabilize the financial market. The Federal Reserve and JP Morgan
Chase extended an immense line of credit to help Bear Stearns stay afloat. In a matter of one–week Bear Stearns went from $70 to $2 a share. The
Federal reserve, JP Morgan Chase and Bear Stearns pulled off what usually would take months, took only a weekend before the market reopened on
Monday. Ultimately, selling Bear Stearns to JP Morgan Chase for $2 a share (Greenberg and Singer, 2010).
... Show more content on Helpwriting.net ...
Stearns and Harold C. Mayer Sr. on Tuesday, May 1, 1923, as an equity trading house with only $500,000 in capital. In today's dollars that would
equate to approximately $6.1 billion. During the time the firm was founded Joseph Bear was 45, Robert Stearns was 35 and Harold Mayer Sr. was
28. The Bear Stearns Companies, Incorporated was based in New York as a global investment bank, securities trading and brokerage firm. Its main
business areas were capital markets, investment banking, wealth management and global clearing services (Greenberg and Singer,

Essay on Jp Morgan Chase
J.P. Morgan Chase Case Write–Up
I. Case Summary
The passing of the Financial Services Modernization Act of 1999 repealed the Glass–Steagall Act, and the rescinding of the 1956 Bank Holding
Company Act. "The legislation spurred a flood of mergers and acquisitions" by permitting banking, insurance, and securities firms to be affiliated
/associated with one another, as a result it became extremely profitable and advantageous for financial institutions to consolidate and diversify their
holdings. In doing so a financial firm was capable of offering a multitude of financial products and serviced through one encompassing entity. The
particular market segment that this case analysis discusses is the J.P. Morgan Chase credit... Show more content on Helpwriting.net ...
Because of the nature of the distinctiveness of the products offered, once a market niche is saturated it because very difficult for competition to enter.
III. Factors Contributing to Strategic Issue
(a) Industry Analysis
Buyer (Very High Bargaining Power): The individual buyer segment is the largest of the three segments of thecredit card customer market. The threat
that the buyers represent is their ability to force prices and quality down. Furthermore, due to the plethora of alternative products the switching cost for
the customer is very low, as noted in this case, buyers possess a high bargaining power which results in higher operating costs resulting in a deduction
of profits.
Supplier (High Bargaining Power): Credit card companies are a part of a larger portfolio of companies that are held by large commercial banks. As a
result of mergers and acquisitions investment banks entered into the credit card market sector. CCS comprised 29% of the earnings for J.P. Morgan
Chase's commercial banking division, where J.P. Morgan is the financial holding company. Despite the fact that the credit cars sector has few players
and is saturated, there are still opportunities for growth, through international and portfolio expansion.
Substitute (High Threat Level): As the saying goes "Cash is king", showing that cash is always an especially strong substitute. In regard to other credit
products; the

Jp Morgan
Brian Tabb, Duc Nguyen, Haojun Chen, Jingyi Chen, Dan Ning
12/12/2014
Brian Tabb, Duc Nguyen, Haojun Chen, Jingyi Chen, Dan Ning
12/12/2014
FI730 Group Report
Financial Institution Analysis
FI730 Group Report
Financial Institution Analysis
1. Introduction
1.1 JP Morgan & Chase, Co.
JP Morgan & Chase, Co., incorporated under Delaware law in 1968, is now one of the oldest and most influential financial institutions in the
world. As of December 31, 2013, the firm's net assets and stockholders' equity amounted $2.4 trillion and $211.2 billion, respectively. Currently, the
firm is the leading banking institution in various business segments that include investment banking, commercial banking, asset ... Show more content
on Helpwriting.net ...
Additionally, AM offers retirement products, brokerage and investing services that include trusts and estates, loans, and mortgages to its
high–net–worth customers.
The Corporate/ Private Equity segment mainly serves business activities within the corporation. Its primary purpose is to manage, measure, monitor,
and report the Firm's liquidity, funding, and structural interest rate and exposure to foreign exchange risks. 1.2 The First National Bank of Central Texas
The First National Bank of Central Texas (hereinafter referred as FNBCT), founded in 1901 in Mart, Texas, was originally the first national bank to
serve the agricultural community and consumers and small business owners in Mart. Quick growth followed after the bank changed its leadership
and ownership in 1995. Under the leadership of a seasoned management team and CEO, Monte Hulse, the bank expanded rapidly, from a single
branch to multiple branches in the area. FNBCT acquired multiple branch locations along its rapid expansion periods, and by the end of 2010 and
early 2011, FNBCT amounted a net asset size of $700 million, with only five banking centers. The five branches are located in Waco,
Woodway–Hewitt, China Spring, Mart, and Hillsboro, Texas. FNBCT offers traditional banking services such as Personal Banking, Commercial
Banking, Farm & Ranch Lending, Loan Products, and Retirement Planning.

Personal Banking offers consumers the opportunities to

Lehman Brothers : Financial Crisis Essay
The Multimillionaire Men of Lehman Brothers
On September 15, 2008, Lehman Brothers filed for bankruptcy. With $639 billion in assets and $619 billion in debt, Lehman 's bankruptcy filing was
the largest in history, as its assets far surpassed those of previous bankrupt giants such as WorldCom and Enron. Lehman was the fourth–largest U.S.
investment bank at the time of its collapse, with 25,000 employees worldwide. The consequences for the world economy were extreme. Lehman's '
fall contributed to a loss of confidence in other banks, a worldwide financial crisis and a deep recession in many countries. Lehman 's collapse roiled
global financial markets for weeks, given the size of the company and its status as a major player in the U.S. and internationally. Many questioned the
U.S. government 's decision to let Lehman fail, as compared to its tacit support for Bear Stearns, which was acquired by JPMorgan Chase & Co.
(JPM) in March 2008. Lehman 's bankruptcy led to more than $46 billion of its market value being wiped out. Its collapse also served as the catalyst
for the purchase of Merrill Lynch by Bank of America in an emergency deal that was also announced on September 15.
At the height of the 2008 financial crisis, Mr. Lawrence G. McDonald wrote a book on the fall of Lehman Brothers, entitled "A Colossal Failure of
Common Sense." This book is a risk manager 's guide to the right and wrong moves on Wall St., and explains why investors must stay ahead of
policies coming out

Essay On A Career
Determining a career that will guarantee a person jobs is a hard deal to find in today's society. Education is getting expensive to get and jobs require
a lot of experience to pay you a good deal of money. Many career have been failing due to new technology innovation and many career are high in
demand. People are unsufficient to decide whether to chose something they like or whether to do that will make them earn more money. However, in all
this career battle, we forget to ask one main question: Are we happy with our career choices? This model of life is very twisted. What careers we
chose impact us for the rest of our lives. Therefore, we have to be careful and judgemental when it comes to making these decisions. A person
should only do what he or she would like to do; therefore, they should find a career that helps earn more money and something that they enjoy doing.
Ever since I was a kid, I wanted to become a business entrepreneur like my father. In this further essay, I will talk about why I chose this career, what
is career requirements, and what are the future goals for me in this field.
There are uncounted numbers of careers that are highly in demand, but like my father, I want to be business investor. As growing up, whenever
someone asked me that what I wanted to be?; I said many different things at many different times. After watching some inspiring film, I picked up that
movie character and made his profession my career choice. However, those are all

Impact Of The Credit Crisis On Investment Banks Essay

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