Some interesting behaviour of traders at UBS was revealed in the recent trial... http://www.bloomberg.com/news/2012-...t-wine-bar-as-ubs-market-bets-unravelled.html I wonder how typical this is of IB traders generally? Anyone who has worked at a similar position in an IB care to comment?
he (Adoboli) and Hughes, then in their mid-20s, with 30 months of trading experience between them, were running a $50 billion trading book at the ETF desk. .... Wow lol...
That is almost certainly a typo Should be $50 MILLION This particular goofball (both are goofballs) had no concept of risk control...as his personal spreadbetting a/c in which he lost nearly $200,000 indicates Basically instead of taking a small loss, he went full tilt/revenge trading to try to make back the loss
By the sounds of things, the UBS London risk management systems were appalling. I've traded at small private prop firms with better controls than what this. Also, this kid was trading for just 30 months and was given this size to handle?