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To trade or not to trade [ updated ]

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Back in around 2005, I took the first steps from moving away from a technical career to aspire towards a financial career. Back then I was working in one of those IT tender chasing sweat shops and I believe everybody back then was geared towards one of two projects, namely the computerization of the National Land Office or Jabatan Imigresen as the big ticket items. There were also rumblings about some highly connected companies landing some healthcare IT deals. There was also a lot of disquiet about Azalina’s Kementerian Belia dan Sukan (KBSM) forcing a whole bunch of vendors to perform a Le Tour of Malaysia by visiting every KBSM facility throughout the country in order to bid for a computerization project tender for a campus system. (The specs of which were lifted 100% from one company but in the end even those who used that company’s specs did not get the job. I believe an Oracle vendor got that.) **

I believe that was also the beginning of the hyping of this role called “the Investment banker.” Big CEOs of Wall Street banks were so egoistical that some of them had golden toilet bowls in their office and pandered to the idea of being considered as “Masters of the Universe.” Films like James Bond had them as villainous roles, other Hollywood films portrayed them as riding on motor bikes and then changing in to suits, dashing into private planes and creating money out of thin air.  Konon-nya.

Taking Felda Rembau FC to winning Champions League

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This is an update as to why we have been very quiet over the past several months. Sir Wenger spoke a bit about this at a recent ceramah held  in Balai Rakyat Rembau.

What makes up a Trading Book and my new friend Dr. SOCE

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If you notice JP Morgan’s 2019 Interest Income , you will see that 12.8% of it came from Trading – assets of debt securities and 11.4% of it came from Trading assets – Investment securities. Together they contributed interest income of $20.4 billion, computed on a Tax-Equivalent basis (see our earlier post on how 1 + 1 is not equal 2).

So what is in a Trading Book?

Trading Assets / Trading Book.
As of end 2019, JP Morgan had trading assets of $411 billion and Investment Securities of $398 billion. For its trading book, on average $334 billion were debt securities, so JP Morgan is a big debt shop, with the remainder being mainly stocks. While the loans is overwhelmingly US based, the debt securities potion trading book is split $223 billion US based (66% US based) and $111 billion.

JP Morgan is definitely a debt-sweat-shop.

So before we go further, lets clarify something : Why this violence?

Did JP Morgan foresee the taper tantrum?

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Banks used to be very much in the spotlight a decade ago as people wondered how they could grow to be so big . For example, JP Morgan’s total assets of $3 trillion USD is several times higher than Malaysia ‘s GDP.

However in the process of building our secret box, we will show precisely to think of banks and explain their mysteries .

(Note to self: No more culture war editorializing )

When 1 + 1 is not equals 2

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We continue our work towards building the system to de-platform all systems, a system so secret that it is the most secret-y secret of all of secret-dom and we are its sole witness! It’s a heavy burden,  but nobody must know the mystery of the secret platform.

One problem that irritated us for 5 years is this simple line item over here picked up from JP Morgan’s Annual Report.

Debunking the MITRE Report

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A team of MITRE data scientists calling themselves the “Bald Eagle” produced a report over here which provided the following conclusion: In summary, multiple types of analysis found no evidence of fraud, manipulation, or uncorrected error in the eight states included in this research.

We had a quick glance of the report and would like to point out a significant flaw in the methodology which renders the conclusion to be inconclusive.

The Gateway Pundit also argues the case over here, but their argument is not quantitative as we are.

Credit losses mounting at Goldman Sachs’s Investment Banking Division

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While celebrating our new Totalitarian Woke reality, we noticed something about the Vampire Squid (aka Goldman Sachs) financials.

[ Standard disclosure: Not investment advice, not investment advice, not investment advice, Cancel Manchester City from Premier league ]

Happy Gina day

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Today we are celebrating Happy Gina Carano day as she revealed Disney Corporation’s hypocrisy and bullying. If you have daughters you have to watch her interview.

We will follow up about this closer to Disney’s earnings date.

Subscribing to Disney means supporting bullying.

We publicly declared our opposition to Disney last year and await the day the company’s credit rating gets downgraded to sub-investment grade.

A road trip to Maran

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Credits: Bernama

If you did not notice, the great state of Texas froze over the last week as it was hit with a polar vortex. Things got so bad that a vast proportion of the energy generating capacity was knocked off and it is now emerging that home owners had energy bills that went up to as high as $16,000 as the price of energy spiked through the roof.

At the same time, Texas Senator is under fire for initially joining his family in a vacation to Cancun, Mexico, while the state he represents endured a national emergency. He should resign because at a time when the state is in trouble, you should be on the ground lending whatever help you can get and your family should stay with you.

This reminds me of a saying Queen Elizabeth I made about not abandoning London when the German Luftwaffe were raining bombs on the city.

And Malaysians can be proud because our Royalty also shows great concern and are very quick to be on the ground when disaster strikes, which can provide moral encouragement to all the rescue and relief forces as well as  to the rakyat to endure adverse circumstances.

Gempar ! International pressure building against Facebook

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We want to thank the management of Facebook for making National De-Platform Day a great such a great success, that it’s now International De-Platform Day.

If you hadn’t noticed , Facebook just banned all Australian content from its platform overnight and without warning.

If this was a threat, it was wonderfully executed as now almost all of Australia is united against Facebook. The Australian PM also spoke with the Indian PM on this.

Imagine if the Government of India and Australia decide to join forces and de-platform Facebook from their countries. It would make this the Best National De-Platform Day ever!

De-platform Facebook!!

The rest of this post is about football and discusses “conspiracy theories” and an amazing goal scored by PSG against that Woke Barcelona!

(Note: I disliked Barcelona ever since UEFA conspired in 2005 to deny Arsenal a chance to win the Champions league by sending off Arsenal goalie so early ).