So usually, the managers go down the road of making dodgy acquisitions and wasting shareholder money to maintain growth when they should be returning that money to shareholders, who are the real owners of the company.
Author: Edouard Chazal
Why Online Dating Services Are Like Financial Markets
In that sense, online dating services bring the same thing to the market for relationships that modern, electronic trading platforms bring to the financial markets: In a word, liquidity.
The Currency War Is Not New, It’s Merely Escalating
Who will win? To change the analogy: if you’re in a bay surrounded by people in boats who are pumping water in so that they can see who can sink his boat the fastest, the winner is the one who is wearing a life vest. All the others are just some varying grade of loser. Don’t be the last one to grab a life vest.
Too Fast To Fail: Is High-Speed Trading the Next Wall Street Disaster?
But why stop there? One trading engineer has proposed positioning a line of drones over the ocean, where they would flash microwave data from one to the next like the chain of mountaintop signal fires in The Lord of the Rings. “At what point do you say, ‘This is fast enough’?” asks Brent Weisenborn, a former NASDAQ vice president.
The People Versus The Bankers
To understand why bankers love the status quo you have to understand how they pay themselves. Unlike most enterprises, labour actually has more power than capital at the big banks because debt plays such a huge role on bank balance sheets. To make shareholders feel better about this quasi-Marxist relationship, bankers use “return on equity” as a way to justify their compensation.
