Comments by "L BA" (@lambertois11) on "Credit Suisse's Crisis" video.

  1. Let’s talk about a subject that is rarely discussed: the system of bonuses for the bank management, especially for the investment banking. The bank bonus system is based on the profits at the end of the year. The managers are totally focussed on the short term. They become risk near-sighted; they do not care about the medium-term risk! The best example to illustrate this case is the CEO of the defunct Layman Brothers. In the years prior to the collapse of Layman Brothers, the CEO has amassed 500 million in salary and bonus. He could care less about the future of Layman Brothers.
    9
  2. There is something I do not understand! The Credit Suisse has been in continuous problems in the past 5 years. Why the Suisse government did not intervene to correct the problem before it grow out of proportion ???
    3