Grenville

I understand now. They are pulling the data from the Dalal Street filing. I guess he's now filing through that name. http://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001549575&owner=exclude&count=40

I noticed that as well. I couldn't find the filing on the SEC site, so I wonder where they are getting the data from. http://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001173334

Thank you for posting!

Thanks, that works!

More detail on the trade and background on when things started. Fascinating. "In JPMorgan Chase Trading Bet, Its Confidence Yields to Loss" http://dealbook.nytimes.com/2012/05/11/in-jpmorgan-chase-trading-bet-its-confidence-yields-to-loss/?hp

If the CDX Markit index for Investment grade CDS (Markit CDX.NA.IG) is tied to the JPM trades, its down 5.7% today. The quote is on their home page: http://www.markit.com/en/

I agree the notional amounts are large, but I think you have to separate the types of contracts making up that exposure. A vast majority are interest rate swaps which are tied to large notional amounts, but the amount of cash transferred is an interest rate times the notional amount. It would be nice if the system didn't have as many derivatives, but it seems like derivatives are here to stay and it's something you have to understand and get comfortable with if you want to invest in the banking system.

I was just looking at JPM credit derivative notional exposure in the last 10Q: Their net credit protection sold is 206.6 bln versus 116.8bln last quarter. The overall portfolio of sold CDS is 3.1 trillion versus 2.9 trillion last quarter.

Thanks for the update, interesting to see a sixth holding. Munger has spoke positively about BAC.

Just listened to the call. From what I understand the synthetic credit position started out as a way to hedge the tail risk of the credit environment getting really bad, then over time they began to undo the hedge with a different strategy and that's where things went bad. It's also funny that at one point someone ask Jamie Dimon if there were signs that he should have been following in Q1 when problems started to show up. He mentioned he should have paid more attention to trading losses and read the newspaper. I'm just guessing he's referring to all the commotion with the "London Whale". Interesting times.

Do you mean he was trying to short the CDS he was already long? Also, in terms of mechanics, the position can move mark to market, but no real cash changes hands outside of collateral postings until there is either a default in the index or they try to close out the contract?

From the 10Q I agree it will be an interesting day tomorrow.

Very interesting! Thanks.

What a waste of valuable time to meet and interact with management...

I would recommend a suit and tie especially if you get a chance to talk to the executives one on one. Just my opinion and what I've done at annual meetings.

Very interesting. Thanks for the article.

Thanks for the link to the report

Good to see him continue to add. from the proxy:

From what I understand, no. They are one direction. If there is high inflation, the contracts expire worthless. One of the annuals or letter's explains how they work, if I remember correctly.

The question was asked at the AGM. Brian Bradstreet answered the question, and he said it was a good question. It is a real risk with the CPI derivatives, but he said there will be some work out solution if the Euro dissolves itself. If I remember correctly he said there may be a weighted measurement of the CPI across various countries. He mentioned that the TIPS market in the Euro is big as well and they'll need a solution if the Euro dismantles.

Count me in to help! -Grenville

Bay Area, CA Count me in for a meet up.

Great stuff, thanks for posting.

nice site, thanks!

It hasn't stopped Donald Powell from buying on the open market. He's on the board. http://www.sec.gov/Archives/edgar/data/70858/000122520812006238/xslF345X03/doc4.xml