Lunchtime Links: Hedge funds firing, FSA hiring

17 October 2008

2 minute read

Lunchtime Links: Hedge funds firing, FSA hiring

It would be a bit of a change of scene, leaving the leafy streets of Mayfair for the FSA's home at Canary Wharf, but who's to say that a few redundant hedgies might not go for it? According to Bloomberg, hedge funds might cut as many as 10,000 jobs this year as they struggle to survive. "It's bad out there," says our friend Michael Karp at the Options Group. "Generating returns is not easy at the moment and as funds look to cut costs, the best way is to let go of people."

The counterweight to hedge funds' pessimism - in enthusiasm at least - is the FSA. It may not be hiring 10,000 people, but it's certainly keen. Lord Turner of Ecchinswell (AKA the FSA chairman) is all over the press this morning saying that they've been doing regulation on the cheap. Henceforth, the FSA "will pay more than necessary to attract the correct quality of people from outside. Poachers turned gamekeepers are very attractive to hire," he told the Guardian.

Ackermann will forego his bonus for 'deserving' colleagues. (Bloomberg)

From 50m pay (per annum) to zero. (Telegraph)

Kill the bad hedge funds, heavily regulate the rest. (Hedgefund.net)

The Iceland look-alike contest. (Bloomberg)

The CDS market is signalling that Lithuania, Ukraine, Iceland, Russia, Pakistan, and more frighteningly, Italy, are all on the verge of default. (Fintag)

Banks were borrowing $437bn a day from the Fed. (Reuters)

How to bring down LIBOR. (Willem Buiter)

Those are figures against which all the Tarps in the world cannot protect the real economy. (Alphaville)

At some point the government may not be able to raise any more money in the gilt markets. (FT)

Forget the financial crisis, remember the flu pandemic. (Bloomberg)

Dress as a hedge fund manager and beg for cash. (YouTube)

AUTHOReFinancialCareers UK

Insider Comment

Pe
Peter
18 October 2008
haha, well <60K is a lot more than many experienced and noob bankers are getting paid at the moment, and probably more than they'll get paid for 2-4 years if they have the same opinions as you Dude on which jobs they turn their noses up at.
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ed
eddy
17 October 2008
I understand why - the FSA up to now has understood very little about what the banks they were supposed to be regulating were doing.
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ma
maggie
17 October 2008
don't blame regulators the world over for 'loose' regulation (it is like criminals turn around and tell their victims: it is the police, stupid). the politicians and interest lobbies will ensure 1) stripped/inadequate power/authority eg through appointment of 'suitable' directors and chairperson, 2) laughable under-sized establishment to ensure permanent inadequacy if not paralysis, and of course 3) payment of professional, ethical and highly qualified staff at say, one-fifth of their market worth, at best. this has been and will remain in practice the world over, unless consumers wake up to the dirty deal between governments and interest groups.
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Du
Dude
17 October 2008
FSA hiring - Did you also know that the role supposedly pays <60k for senior roles at London & puts you through a behavioural psychologist on a phone call ? "will pay MORE than necessary to attract the correct quality of people from outside" ??
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