Wells Fargo SWAPs ……. Warren Buffett, who famously called derivatives weapons of mass destruction, has had a love affair with Wells Fargo & Co, of which his Berkshire Hathaway owns 10%. The fourth largest bank by assets with nearly $1.75 trillion as of the fourth quarter of 2015, was a big bank that steered clear of the 2008 financial crisis by avoiding derivatives mis-steps that bedeviled the Wall Street banks and required a government bailout. With this as a backdrop, the news that Wells Fargo is now engaging in SWAPs derivatives trading might come as a shock – unless one…
Wells Fargo SWAPs Exposure Different From Most Banks
Mark Melin
Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.