How to lose over a billion dollars and become one of the wealthiest men in America..

<p>Corzine</a> Copying Goldman at MF; Bet Backfires - Bloomberg</p>

<p>I keep reading that those who are smart...and work hard get ahead...and that people deserve their wealth...</p>

<p>This is while the world bails out institutions that these wealthy people own...</p>

<p>I don't know if MF Global is going to get bailed out though....probably too small...</p>

<p>Too be fair....Corzine must have had some BETS that paid off...</p>

<p>"Jon Corzine, who won the top job at Goldman Sachs Group Inc. by leading the firm’s fixed-income unit, now says he’s responsible for trading decisions that have almost wiped out the stock-market value of his futures brokerage.</p>

<p>Since Corzine became chairman and chief executive officer of New York-based MF Global Holdings Ltd. in March 2010, he’s increased the firm’s risk and used its own money to trade, including investments in European sovereign debt that have tumbled in value. This week, the firm reported its biggest quarterly loss ever, Moody’s Investors Service cut its rating to one level above junk, shares plummeted 54 percent and 6.25 percent bonds issued in August fell into distressed levels.</p>

<p>“On a personal note, our positions and the judgment about risk-mediation steps are my personal responsibility and a prime focus of my attention,” the 64-year-old former New Jersey Democratic governor and U.S. senator said Oct. 25 on an earnings conference call with analysts."</p>

<p>"In 1994, with Corzine as co-head of fixed-income, Goldman Sachs’s pretax income fell by more than 80 percent as the company lost money on wrong-way interest rate bets, according to William Cohan’s history of the investment bank, “Money and Power,” published this year by Doubleday. Corzine resisted then-Chairman Stephen Friedman’s calls to scale back risk- taking, according to the book. Still, Corzine rose to chairman that year when Friedman departed.
Russia Positions</p>

<p>Four years later, Corzine, as co-CEO, pushed traders to keep risky positions after Russia announced a devaluation of the ruble and defaulted on some of its foreign debt, while co-CEO Henry Paulson pushed to exit the holdings, according to Cohan. The firm had almost $1 billion in trading losses in the second half of that year."</p>

<p>Power equals money. Not hard work and smarts. Some of the dumbest people I know make way more money than they should.</p>

<p>Thanks for the posting, it is eye opener.</p>

<p>Now if MF Global does not gets bailed out then may be Corzine will become Secretary of Treasurer</p>

<p>Wait and watch.</p>

<p>As long as the money you lose is not your own money... sure. :)</p>

<p>"Some of the dumbest people I know make way more money than they should." :)</p>

<p>"Now if MF Global does not gets bailed out then may be Corzine will become Secretary of Treasurer" ..I hope not...:)</p>

<p>"As long as the money you lose is not your own money... sure."</p>

<p>That seems to be the trick...bet with others people money...if the bet pays off...you win big....and everybody thinks you are a genius...bet doesn't pay off...have others take the losses....and try to find another gig...</p>

<p>I never looked into the details of this guy. I assumed he was successful considering he was head of GS etc. What a loser except those he screwed are even bigger losers.</p>

<p>Well dstark at least you are consistent in your contempt for rich people. I never liked Corzine because of his politics but I have always admired him for his financial success. Most people have failures in their careers. What about his successes? Goldman Sachs is not a company that picks hacks to run its business. They are pretty good about selecting leaders who make money for the firm.</p>

<p>I do not think highly of some rich people....</p>

<p>The ones that make big bets with other people's money...and get bailed out of their losers...</p>

<p>If you make big bets and you can afford the losses..go for it...</p>

<p>When you make big bets ...and you can't afford the losses so other people or society have to cover your losses..no i have no respect...</p>

<p>Jon Corzine has been in the financial business for how many years... and he makes bets that jeopardize the firm he runs......</p>

<p>Jon should know better...</p>

<p>Some people who have enjoyed financial success aren't worth admiring...</p>

<p>Rumor i heard this AM, is Goldman is thinking of acquiring MF..How ironic? ;)</p>

<p>I have yet to figure out what assets MF Global has to sell? I think they are a futures brokerage. I doubt Goldman will buy them. I suspect they go out of business or they get a bailout from dstark. :)</p>

<p>Didn't Corzine make most of his money and a lot of money for the other partners by being the man that took GS public?</p>

<p>That's true.....and Corzine should get credit for that....</p>

<p>Going public was a watershed issue for Goldman. Many partners were opposed. </p>

<p>The old Goldman model was famous. You got a $100,000 salary, and the rest of your compensation largely stayed in the firm. (The 100k figure is from mid 70s. It became higher than that over time, but not a lot.)</p>

<p>They were experts at hiring people who were not lone wolves, and generally good at working with others. People were deliberately rotated through assignments in varying areas of the firm so that there was always a senior group who had worked in the most important areas and understood them all pretty well. It was a great way to keep one group from taking excessive risks....since the other guys in the room were well informed about whatever you might be proposing. Most other firms had trouble doing this. </p>

<p>Add that to the fact that everyone's net worth was entirely tied up in the firm, and fully at risk for any screwups, and you had a formula for great success. Guys retired in their 50s with net worths in the multiple tens of millions. That was withdrawn from the firm over a multiyear period. </p>

<p>Going public threw all of that out the window. It was a very controversial change among the partners. You can make an argument that the partners with the longer view would have stayed private.</p>

<p>MF files chapter 11.</p>

<p>Looks like the retail investor is going to lose money without knowing..</p>

<p>But this just isn’t the story of a bank imploding on itself. Thousands of investors will feel the fallout. As of Oct. 30, Fidelity Investments parent FMR Corp., owned 8.44%, Guardian Life Insurance Co. owned 7.81%, TIAA-CREF funds held 5.77%, Rydex Security Global Investors owned 5.13%.</p>

<p>The hubris of those on Wall street from Corzine to Paulson is astonishing.</p>

<p>Yes..and this guy doesn't work for wall street..was paid 600 million over the years...and just left the company with a pay package worth 100 million..</p>

<p>And so much for shareholder power...</p>

<p><a href="http://money.cnn.com/2011/10/31/news/companies/nabors_ceo_bonus/%5B/url%5D"&gt;http://money.cnn.com/2011/10/31/news/companies/nabors_ceo_bonus/&lt;/a&gt;&lt;/p>

<p>""The man obviously doesn't need the money and he's already been compensated for all of the work that he's done there," Uhlmer said.
"This is an unnecessary expense in my mind, but there's no way around it," Uhlmer added. "The board was not going to be able to push him out of the position without the payment."
In a non-binding vote at the Nabors annual meeting earlier this year, 57% of shareholders who voted came out against the compensation packages for Nabors executives, according to a June SEC filing.
Isenberg took over Nabors as it emerged from bankruptcy in 1987 and showed "extraordinary leadership" in leading it to profitability, the firm said in a statement Friday, though it did not offer a reason for his departure.
Since the start of this year, Nabors' share price is down 20%. That's a steeper decline than its rivals: Schlumberger's (SLB) stock is down around 11% so far this year, while Halliburton (HAL, Fortune 500) is down 8% and Anadarko (APC, Fortune 500) is up 5%.
Shares of Nabors were down 2.9% in trading on Monday afternoon.
In 2009, Isenberg was ranked on CNNMoney's list of the "5 most overpaid CEOs" after earning $79.3 million in compensation the previous year and more than $600 million over his career."</p>

<p>MF Global...looks like the company comingled funds....who is going to go to jail?</p>

<p>Looks like he made bets with his own money in addition to the firm's money. Wonder if he'll declare bankruptcy also...</p>