When Big Banks Develop New Derivatives, Questions Abound

According to a new report, the big banks are looking to remake the derivatives contract “for a new generation,” a term that sounds like it belongs in a political campaign. But amidst this apparent “sales communication” is a little phase littered in reports, “financial innovation,” that might lead knowledgeable insiders to give some old school advice:   Watch your wallet when you walk through mid-town Manhattan. Although the magic of the Disney has cleaned up the Times Square area, regulators and the US Department of Justice have sent a different message loud and clear: big bank executives will not be held individually…