I'm deeply saddened by the death of Michael Crichton. He was a great bridge between the science fiction masters of old and the modern reader. His execution of the genre was spot on, exploring the impact of science gone awry, of how technology reveals the essence of the human spirit. I always liked his ideas and his writing had just enough technical jargon balanced with swift and interesting plot. With the popularity of Jurassic Park and The Andromeda Strain, I view him as crucial to bringing serious sci-fi to mass media, along the lines of Alien and The Terminator. His gift for suspense and story were evident in some of my favorites, like Sphere and Congo.
His non-sci-fi novels were enjoyable too. I really liked Rising Sun (my first real exposure to Japanese culture) and Disclosure, and though I was never a fan of ER, the long term success of that show is more evidence of his talent.
I have dog-eared copies of many of his novels. He left behind few published works compared to other authors of his stature. But the quality of his legacy is simply amazing and he will definitely be missed. Rest in Peace, Mr. Crichton, and may all your writings stay fiction and never come to pass!
November 6, 2008
November 5, 2008
President Obama
There's not much to say that hasn't been said already. So I will only add one little personal statement: I do not envy Obama. He just got one of the toughest, most stressful jobs in the world, with woes lining every corner and a whole lot of high expectations. I hope he's ready!
October 28, 2008
Financial PMS
That's it, the market should only be open between 3 PM and 4 PM EST. Apparently that's when the trading hormones are activated.
** I will not look at my 401K, I will not look at my 401K....
** I will not look at my 401K, I will not look at my 401K....
October 18, 2008
A Little Break
Got away from it all last weekend. We rented a cabin from the Potomac Appalachian Trail Club out by Harrisburg PA. No electricity or running water, but there was a campfire, wood burning stove, and fireplace, so it ended up nice and cozy.
Milesburn cabin is literally a few steps from the Appalachian Trail. A bunch of hikers passed by during our stay.
The wood buring stove worked quite well!
Bacon!
It was beautiful weather. The first touch of fall.
On the trail!
There was a reservoir nearby, very pretty.
Campfire cooking can yield tasty results. You pretty much wrap anything in tin foil and it comes out great. By the last dinner, we were getting the hang of it - made a delicious spinach pasta with pine nuts and roasted onion/dill potatoes. Yum!
Sometimes it's nice to be in the middle of nowhere. No market indices, user requests, cell phones, reports. Just good company and fire!
Milesburn cabin is literally a few steps from the Appalachian Trail. A bunch of hikers passed by during our stay.
The wood buring stove worked quite well!
Bacon!
It was beautiful weather. The first touch of fall.
On the trail!
There was a reservoir nearby, very pretty.
Campfire cooking can yield tasty results. You pretty much wrap anything in tin foil and it comes out great. By the last dinner, we were getting the hang of it - made a delicious spinach pasta with pine nuts and roasted onion/dill potatoes. Yum!
Sometimes it's nice to be in the middle of nowhere. No market indices, user requests, cell phones, reports. Just good company and fire!
October 6, 2008
All Banks Merge into OmniBank!
The JPM integration is in full swing, so things have been insane at work. It doesn't help that we're merging all of WaMu's systems as well. Damn ambitious managing two large acquisitions in a year, but when the price is right...
September 18, 2008
Barking Up the Wrong Tree
I don't see how regulation could have stopped the current housing meltdown.
Joe Street goes to GreedyBank to borrow money for a home.
GreedyBank fakes paperwork and qualifies Joe beyond his means. To put icing on the cake, GreedyBank lets Joe get away with a 0% down, interest-only option ARM. Joe plunges in, the prospect of owning his dream home blinding him to financial caution.
GreedyBank sells its loans to BiggerGreedyBank. BiggerGreedyBank plunges in, the prospect of profit blinding them to the shaky loan documentation. The loans are sliced, diced, and combined with others, some also faked, others actually decent. Either way, it all becomes part of a giant financial soup.
House values fall, the ARM resets, costs rise, Joe can no longer make his payments.
Multiply across the country.
GreedyBank goes out of business.
BiggerGreedyBank goes out of business.
So where does government regulation come into play here? There are already credit rules and all banks have a risk policy. Sure, you could impose additional leverage ratios, liquidity percentages, all sorts of requirements. But it doesn't matter how good your rules and policies are, if they get broken all the time. What we need is enforcement of existing regulation. And this enforcement is already starting to happen. Investors are wary, lenders are stricter, borrowers are skeptical. It's painful, but it's the economy fixing itself.
In the end, a whole series of bad decisions led to this crisis. No regulation has ever stopped those before.
Joe Street goes to GreedyBank to borrow money for a home.
GreedyBank fakes paperwork and qualifies Joe beyond his means. To put icing on the cake, GreedyBank lets Joe get away with a 0% down, interest-only option ARM. Joe plunges in, the prospect of owning his dream home blinding him to financial caution.
GreedyBank sells its loans to BiggerGreedyBank. BiggerGreedyBank plunges in, the prospect of profit blinding them to the shaky loan documentation. The loans are sliced, diced, and combined with others, some also faked, others actually decent. Either way, it all becomes part of a giant financial soup.
House values fall, the ARM resets, costs rise, Joe can no longer make his payments.
Multiply across the country.
GreedyBank goes out of business.
BiggerGreedyBank goes out of business.
So where does government regulation come into play here? There are already credit rules and all banks have a risk policy. Sure, you could impose additional leverage ratios, liquidity percentages, all sorts of requirements. But it doesn't matter how good your rules and policies are, if they get broken all the time. What we need is enforcement of existing regulation. And this enforcement is already starting to happen. Investors are wary, lenders are stricter, borrowers are skeptical. It's painful, but it's the economy fixing itself.
In the end, a whole series of bad decisions led to this crisis. No regulation has ever stopped those before.
September 15, 2008
That Loud Sucking Sound...
...is the US financial sector. I'm reminded of Joan D. Vinge's The Snow Queen, where "May you live in interesting times" is actually a curse on one of the worlds.
It's amazing how these legendary firms are collapsing. The big commercial banks are getting bigger, and I'm sure right now, everyone is glad they are around to pick up the pieces. But I wonder what will happen once all the consolidation is over and we're stuck with these enormous entities and their hands in everyone's cookie jar?
Definitely interesting times.
It's amazing how these legendary firms are collapsing. The big commercial banks are getting bigger, and I'm sure right now, everyone is glad they are around to pick up the pieces. But I wonder what will happen once all the consolidation is over and we're stuck with these enormous entities and their hands in everyone's cookie jar?
Definitely interesting times.
September 7, 2008
Guess Who Owns Your Mortgage?!
Finally, the Treasury does something intelligent. Dismissing the top executives at Fannie and Freddie. Suspension of dividends. Demotion of current stock to junior status. Reduction of mortgage backed holdings in the next 10 years. Infusion of cash to maintain liquidity.
It's a start. As long as lenders return to the high credit standards they should have been using all along (example guidelines shown here in painful detail), I don't even mind spending my precious tax dollars to help someone buy a home. There are plenty of hard working, deserving people who should be homeowners, if only to reduce my share of property taxes :-P
But seriously, one needs to finish what is started. This should be run as vigorously and relentlessly as a Chap 11 Reorg. Cuts need to be made, heads have to roll, and ultimately, the key lies with a single question: should these enterprises become completely nationalized or should the assets be sold to private investors? Either way, it's pretty clear the old framework is dead. I just hope our government is able to carry out a proper burial.
It's a start. As long as lenders return to the high credit standards they should have been using all along (example guidelines shown here in painful detail), I don't even mind spending my precious tax dollars to help someone buy a home. There are plenty of hard working, deserving people who should be homeowners, if only to reduce my share of property taxes :-P
But seriously, one needs to finish what is started. This should be run as vigorously and relentlessly as a Chap 11 Reorg. Cuts need to be made, heads have to roll, and ultimately, the key lies with a single question: should these enterprises become completely nationalized or should the assets be sold to private investors? Either way, it's pretty clear the old framework is dead. I just hope our government is able to carry out a proper burial.
September 5, 2008
No Day But Today
Rent is leaving broadway. This weekend will be final curtain call in the Nederlander for Mark, Roger, Mimi and company.
After 12 years, the show inevitably became outdated. But I'm still amazingly fond of the music and characters, and some themes like hope and rebellion will never grow old. Just look at Spring Awakening picking up where Rent left off. Despite closing on broadway, I think it will continue to tour and be produced all over the world.
There's always a candle somewhere that needs lighting :)
After 12 years, the show inevitably became outdated. But I'm still amazingly fond of the music and characters, and some themes like hope and rebellion will never grow old. Just look at Spring Awakening picking up where Rent left off. Despite closing on broadway, I think it will continue to tour and be produced all over the world.
There's always a candle somewhere that needs lighting :)
September 1, 2008
Penguins Can't Fly!
Went to the New England Aquarium in Boston this weekend. I confirmed that penguins are still cute, jellyfish are still creepy, and looking a shark in the eye is still awesome.
Speaking of awesome, the CBLDF identified this for me:
It's by Ken Knudsen, who writes a book from the perspective of a disgruntled monkey. The monkey is male, but is named Jennifer. There are some anger issues.
Speaking of awesome, the CBLDF identified this for me:
It's by Ken Knudsen, who writes a book from the perspective of a disgruntled monkey. The monkey is male, but is named Jennifer. There are some anger issues.
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