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...like hedge funds or private equity firms. Moreover, they have universally opted to keep their assets below the $100 billion “Too Big to Fail” threshold that regulators use to classify any financial institution as systemically significant and hence subject to added supervision. Given these two facts, SWIFTs have not been subject to the strict capital and liquidity requirements imposed on banks in wake of the global financial crisis of 2007-2010. In the meantime, the major banks, unable to compete with the low funding costs of the SWIFTs, have stuck to more traditional lines...

Author: By Jeremy C. Stein | Title: The Next Financial Crisis | 5/27/2010 | See Source »

...first cracks in the SWIFT model appeared in October of last year, with the failure of the relatively small Pro-SWIFT. Pro-SWIFT had an imprudently large fraction of its assets invested in a single Georgia wind farm, which was forced to shut down for two weeks over protests that its turbines were killing large numbers of local waterfowl. The resulting revenue loss forced Pro-SWIFT to sell assets in an effort to service its maturing short-term debt. Although only $10 billion of assets were liquidated, they fetched just 60 cents per dollar of book value. J.P. Morgan...

Author: By Jeremy C. Stein | Title: The Next Financial Crisis | 5/27/2010 | See Source »

...took the Ivy League down to that last day against Dartmouth, and if we gotten those two more wins we would have won our side,” Albright said. “We had really started to hit well...

Author: By Madeleine Smith, CRIMSON STAFF WRITER | Title: SEASON RECAP: Crimson Splits Every Ivy Weekend, Misses ILCS | 5/27/2010 | See Source »

...Harvard Business School’s class of 2010 celebrated their past two years as MBA students and their future prospects at a Class Day ceremony with friends, faculty, and family yesterday...

Author: By Tara W. Merrigan, CRIMSON STAFF WRITER | Title: Speaker Pushes For Creativity at Business School Class Day | 5/27/2010 | See Source »

...afternoon was also marked by light-hearted reflection on the class’s two-year experience at the Business School...

Author: By Tara W. Merrigan, CRIMSON STAFF WRITER | Title: Speaker Pushes For Creativity at Business School Class Day | 5/27/2010 | See Source »

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