Were the lessons learnt? - JPMorgan unit has $100 billion of risky bonds

The unit at the centre of JPMorgan Chase's $2bn trading loss has built up positions totaling more than $100bn in asset-backed securities and structured products the complex, risky bonds at the centre of the financial crisis in 2008.

These holdings are in addition to those in credit derivatives which led to the losses and have mired the bank in regulatory investigations and criticism.

"I can't see how they could unwind these positions because no one can replace them in terms of size. It's a bit of the same problem they face with the derivatives trade, said a credit trader at a rival bank. They pretty much are the market" ... READ MORE

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Released by the Financial Times - 18 May 2012