MF Global - WTF! Customer money gone missing?

[benwm]

MF Global Rankings on Select Exchanges by Trade Volume
(Fiscal Year 2011)

COMEX #1
NYMEX #1
SFE #1
CME #2
CBOT #3
ICE Futures #3
SGX #4
Liffe #4
Eurex #14

 

[benwm]

Given that Corzine was trying to create a mini-Goldman, should we be "worried" about Goldman?

Is the collapse of MF just a taste of what is ahead of us?

 

[atticus]

Quote from atticus:

I know of a CTA and a retail client with MFG that sent wire-out requests by 9am yesterday morning and neither has been received.

Rumors are very bad w.r.t. MFG's client accounts. Hearing the firm lost more than $400MM today on marks.

 

[atticus]

Quote from Daal:

This might be even correct. I've read that their euro bonds are mostly trading at 99c on the dollar

None of their EU holdings are trading at 99/100.

 

[ajcrshr]

@zerohedge "One thing is certain: In the case of the 99% against Jon Corzine, justice will be swerved"

 

[Rodney King]

Quote from benwm:

MF Global Rankings on Select Exchanges by Trade Volume
(Fiscal Year 2011)
COMEX #1 NYMEX #1 SFE #1 CME #2 CBOT #3 ICE Futures #3 SGX #4 Liffe #4 Eurex #14

And much of it low-quality business. MF was a "price cheater" in the clearing space. Many of its customers are penny-pinchers who won't be warmly welcomed by the other big clearing firms.

 

[Syprik]

Very curious which counter-parties called for more collateral. Apparently a lot of the repo volume is cleared through LCH Clearnet...maybe this will soon surface? And was the collateral call in good-faith? Could be juicy twist #17 of the story. Not familiar with repo market, but after looking into the mechanics of this trade and cutting the intellectual-masturbation down to size, is it really anything other than a levered prop bet disguised as a low-risk liquidity trade? The R:R seems so weak @ such leverage and faith in floating collateral counter-party. "Looks low-risk on paper" my ass when you take into account counter-party and financing toxic underlying bonds (someone has to be long to own?). Furthermore, how exactly does one get this past shareholders/board? Perhaps within a firm that fails to segregate client funds?

Good work Corzine, get hit by a bus.

 

[syswizard]

Quote from ajcrshr:

@zerohedge "One thing is certain: In the case of the 99% against Jon Corzine, justice will be swerved"

I love that. Of COURSE, he's an....ATTORNEY.
Only you and me are ever "served".
John is "swerved".
Scum bag.

 

[syswizard]

Quote from Rodney King:

And much of it low-quality business. MF was a "price cheater" in the clearing space. Many of its customers are penny-pinchers who won't be warmly welcomed by the other big clearing firms.

Ah...that explains it. High volume, low quality trades.

 

[athlonmank8]

Greed is good. Greed works.