http://ftalphaville.ft.com/blog/2011/10/31/717181/mf-global-and-the-repo-to-maturity-trade/ MF Global and the repo-to-maturity trade "So, while most of the media has been commonly referring to MFâs sovereign bond positions as proprietary bets gone wrong, thereâs more to it than just that. If anything this was a financing position (or liquidity trade) â not a bet on the future direction of the bonds themselves. Whatâs more, if executed properly the trade should â at least on paper â have posed little or no risk." http://blogs.reuters.com/felix-salmon/2011/11/01/what-happened-at-mf-global/ What happened at MF Global "MF Global made a massive leveraged bet on European debt, and then it died. That seems to be the conventional wisdom at this point, but itâs a bit oversimplified. A more accurate story would be to say that MF Global got involved in a complex liquidity-management trade, and that it didnât have risk managers with the power or ability to cap the trade before it got too big."