Fed Hires Bear Sterns Chief Risk Officer

[zoog]

I can't decide if it's "foxes guarding the henhouse" or "inmates running the asylum"

How's this for sweet, sweet irony? The person who oversaw risk at Bear Stearns when it was driven into the ground for being overly risky has just landed a job at the New York Federal Reserve Bank of New York in charge of bank supervision.

Michael Alix, who was chief risk officer for Bear Stearns from 2006 until its demise earlier this year, will help oversee banks for the Fed in New York. He was appointed senior vice president in the Fed's Bank Supervision Group, reporting to William Rutledge, the group's head. Alix ran Bear's global credit risk management for the decade prior to become its chief risk officer.

portfolio.com link

[metalman]

Re: Fed Hires Bear Sterns Chief Risk Officer

I can't decide if it's "foxes guarding the henhouse" or "inmates running the asylum"

portfolio.com link

don't blame the geeks for the jocks' malfeasance.

[grizam303]

Re: Fed Hires Bear Sterns Chief Risk Officer

At first I thought this is hilariously ironic, until I realized how much power this position likely entails.

Nobody can convince me now there isn't a good ol' boys club.

[Pericles]

Re: Fed Hires Bear Sterns Chief Risk Officer

"don't blame the geeks for the jocks' malfeasance."

Eventhough the jocks ruled the roost, I don't believe the Nuremberg Defense applies here either. This position carries responsibility. If he failed to influence compliance within a single company, what are the odds he can do so for multiple companies? Granted, this position has more teeth, but is that enough?

[Tulpen]

Re: Fed Hires Bear Sterns Chief Risk Officer

I can't decide if it's "foxes guarding the henhouse" or "inmates running the asylum"

portfolio.com link

Like the blind leading the blind.

[tsetsefly]

Re: Fed Hires Bear Sterns Chief Risk Officer

I thought this was headline from the onion...