2 Tiered Structure
Via Bloomberg
Taleb says:
- We have had worst form of banking structure.. Capitalism when banks made profits, Socialism when banks showed losses!
- 2 Tiered structure is the way to go , where the First tier comprises banks that are completely nationalized and are operated as utility companies. Second tier comprises companies that are free to take any risk they want to take,but with the rider that they will never ever be bailed out!!
- I don’t understand Options , being a option trader for 10 years. How will the regulators understand ? Nothing complicated than vanilla options should be traded.