Another rehash of how we look compared to 1937 in the Dow…

The past few years, I’ve noticed a common theme in talks by the rich and successful people I’ve seen speak. They all seem to be extremely (in some cases obsessively) curious about why they, in particular, have been successful. It seems almost as though they feel undeserving, as if the rest of their lives have been an attempt to prove their first success had a reason or formula.

… Anyway, I guess what I’m saying is that AA.com is a huge corporate undertaking with a lot of tentacles that reach into a lot of interests. It’s not small, by any means.

Oh how I wish we were, though! Imagine the cool stuff we could do if we could operate more like 37signals and their Getting Real philosophy (http://gettingreal.37signals.com/)! We could turn on a dime. We could just say “no” to new feature requests. We could eliminate “stovepiped” positions. We could cut out a lot of the friction created when so many organizations interact with each other. We could even redesign the AA.com home page without having to slog through endless review and approval cycles with their requisite revisions and re-reviews.

I think a little “Escape From Cubicle Nation” could do some good to Mr. X…jus saying..

Hmmmm….any take-aways I can use?

Increased frequency of smaller size trades + financial crisis = Marketcetera or open source trading ware…

@Stocktwits , @howardlindzon … more publicity, keep it moving Howard…hustling

This college student has an unlikely full-time job: He runs a $4.7 million long-short equity hedge fund.

In themselves, the numbers put up by Caelum Capital, as Graves’s five-person firm is known, are impressive. For a fund piloted by a kid who has no professional investment training and who only recently moved out of the dorms, they are uncanny. Last year, when the average equity hedge fund manager was down 26.4 percent, according to Chicago-based Hedge Fund Research, Graves was up 40.6 percent. In 2007 he returned 174.1 percent, after more than tripling his money the previous year — and nearly doubling it the year before that.

Part-time student, full-time trading…

Although I do not know about this case, my experience with securities firms leads me to a more cynical take on so-called rogue trading:

A rogue trader is a formerly ‘aggressive’ trader who lost a lot of money.

Kurt Brouwer “A rogue trader is a formerly aggressive trader who lost…”

In 2005, for example, Ed Clark, CEO of TD Bank Financial Group, which operates a U.S. retail subsidiary, grew increasingly worried about the complexity of some of the securities in the bank’s portfolio.

Clark didn’t fully understand how the derivatives would behave in different market environments, and he suspected no one else did either.

So he did something almost no one on Wall Street had the foresight to do: He ordered his traders to ditch the risky but highly profitable positions. Over the next nine months, TD gradually unwound its derivatives holdings at a cost of more than $200 million in write-offs, which looks like a bargain compared with the $2.2 trillion in losses that U.S.-originated derivatives are expected to incur this year and next, according to the International Monetary Fund.

Still, at the time it was a controversial move, even within TD’s own ranks. “I actually said internally, ‘I’m not going to be proven right in my career,’ ” Clark recalled. “I didn’t see it blowing up that fast.”

Clark is happy to take a little credit for getting a big call right. But he says far less dramatic factors at the core of financial industry operations also explain Canada’s stability. Canada’s Big 5 banks, which account for about 85% of industry assets, didn’t make subprime loans to customers with weak or non-existent credit ratings. And rather than package their mortgages into securities for sale to other investors, as U.S. banks did, Canadian banks held onto the loans. Limits on the banks’ use of borrowed money to goose their investment returns further insulated them from the woes suffered by their American counterparts.

While Canada has avoided the more than $1 trillion the U.S. has at risk in its financial industry rescue, it hasn’t been able to dodge the economic fallout. Thanks to its close links to the U.S., unemployment is 8.4% and total output in April was 3% less than one year ago.

Makes you wonder at what point did some of Mr. Clark’s counter-parts down south choose to avoid a $200M write-off while closing out some profitable trades in order to keep chasing the alpha monster…

July 1, 2009 – 1:20 P.M.

London Stock Exchange to abandon failed Windows platform

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• IT TOPICS:Enterprise Software & Services, Linux, Management, Operating Systems, Servers & Data Center, Software, Windows & Microsoft

Anyone who was ever fool enough to believe that Microsoft software was good enough to be used for a mission-critical operation had their face slapped this September when the LSE (London Stock Exchange)’s Windows-based TradElect system brought the market to a standstill for almost an entire day. While the LSE denied that the collapse was TradElect’s fault, they also refused to explain what the problem really wa. Sources at the LSE tell me to this day that the problem was with TradElect.

Linux looks to be deployed at LSE in the near future…