The Fed Rings a Warning Bell: Hedge Funds and Life Insurers Are Reporting Historic Leverage

By Pam Martens and Russ Martens: December 3, 2024 ~ The semi-annual Financial Stability Report released recently by the Federal Reserve Board of Governors rang a loud warning bell about high levels of leverage at hedge funds and life insurers. Wall Street watchers will no doubt recall that in 2008, during the worst Wall Street collapse since the Great Depression, Bear Stearns went under after it blew up two internal hedge funds the prior year and the giant life insurer, American International Group (AIG), blew itself up by acting as a counterparty to Wall Street’s derivative schemes and had to be taken into receivership by the U.S. government. On the matter of leverage at hedge funds, the Fed wrote this in its most recent Financial Stability Report: “Comprehensive data collected through SEC Form PF indicated that measures of leverage averaged across all hedge funds were at or near the highest level observed … Continue reading →

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Trump’s Nominee for FBI Director, Kash Patel, Has Businesses Financially Intertwined with Trump

By Pam Martens and Russ Martens: December 2, 2024 ~ Based on his Trump-related online merchandise offerings, Kashyap (Kash) Patel exudes the persona of a slick marketing agent and image handler for President-elect Donald Trump rather than a serious candidate for Director of the FBI. Nonetheless, Trump nominated Patel for the post of FBI Director on Saturday, keeping with his penchant for naming outrageously unsuitable candidates for high office. Patel’s merchandise offerings include a children’s book trilogy he authored, titled The Plot Against the King. Patel, apparently, has no problem profiling Trump as a King to whom he owes unwavering loyalty. Patel portrays himself in the books as the brilliant wizard who reveals the truth to the populace. Patel is also hawking his book on the first Trump administration, titled Government Gangsters: The Deep State, the Truth, and the Battle for Our Democracy. Notably, Patel sees no evil intent on the part … Continue reading →

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