On the 1th of October 2007 a bank opened in New Zealand. It wasn’t open for the general public and would only supply money for big stuff and the big boys. It’s name? JP Morgan Chase!
I was announced in the MSM with the smallest of fanfare and I only picked up on it because I was blogging about John Key and NZ’s connection to the international financial world. It exactly one year before the elections which brought “Ex” Wall street banker John Key to power.
Last week a former JP Morgan Chase employee, a New Zealand trader was charged with attempting to manipulate LIBOR rates and the entire bank is constantly having to pay huge fines because they are involved in some of the most pernicious criminal and corrupt practices the world has ever seen.
But that is OK according to CNBC because they make truckloads of money. it’s like saying the Mafia is cool because they make truckloads of money. Well you say, but those are victimless crimes! Not if you live in Jefferson County, Alabama, Greece or Libya!
So why did JP Morgan Chase open a branch not open for the public and only interested in “Whole sale” activities in New Zealand a year before John Key got into power and are they involved in the Derivatives bonanza which exploded after John Key got his mitts on the Prime Ministerial role?
Well perhaps not straight away but here is a quote from JP Morgans own site:
Four large superannuation funds in Australia and New Zealand recently engaged J.P. Morgan to support their efforts with end-to-end third party derivatives collateral management. The funds are looking to manage their exposure and expenses while mitigating operational, credit and counterparty risk. According to Blair Harrison, J.P. Morgan’s head of collateral management for Asia-Pacific, this was a key consideration. “Recent volatility and counterparty defaults have reinforced the need for timely and appropriate collateralization of counterparty exposures, both for superannuation funds and asset managers,” he notes. “Investors are seeking quality collateral that is constantly valued and administered against their obligations.” dated fall 2012
We only have one superannuation fund: the Cullen fund and in December of that same year the fund was awarded the a price for the most innovative financial institution. I bet you my bottom dollar they are now stuffed with the same crap JP Morgan chase has been selling all over the place and it’s only a matter of time before they pull the plug on it.
Added to that we have and that was two years ago $ 112 BILLION in derivatives on the governments books and I would not be surprised if that $ 4.9 BILLION in surplus in the ACC books is invested in the same crappy shit as the Cullen funds assets.
I thought I’d link to two Video’s today to show you how bad that idea is.
Here are Max and Stacey about Jamie Dimon and his JP Morgan bank whom they liken to Financial herpes as a gift that keeps on giving:
And here is Matt Taibbi and Sam Seder on how, according to CNBC, the mafia would be cool cause they make truckloads of money for their shareholders: