Barometer of Fear: An Insider’s Account of Rogue Trading and the Greatest Banking Scandal in History

by Alexis Stenfors

The LIBOR affair has been described as the 'biggest banking scandal in history', a deception affecting not only banks but also corporations, pension funds and ordinary people.

But was this just the tip of the iceberg? Was the scandal the work of a few 'bad apples' or an inevitable result of a financial system rotten to its core? Labelled 'one of the world's most infamous rogue traders' in the wake of a mis-marking scandal, Alexis Stenfors went on to rebuild his life and now guides us through the shadowy world of modern banking, providing an insider's account of the secret practices – including the manipulation of foreign exchange rates – which have allowed banks to profit from systematic deception. Containing remarkable and often shocking insights derived from his own experiences in the dealing room, as well as his spectacular fall from grace at Merrill Lynch, Barometer of Fear draws back the curtain to a realm that for too long has remained hidden from public view.

Genres: Finance, Nonfiction, Economics

336 pages, Paperback

Published May 15, 2017

Reviews

[Timo Klimoff · Rating 3 out of 5]

Suomalaissyntyinen Alexis Stenfors jäi vuonna 2009 kiinni arvopaperisalkkunsa megalomaanisesta vääristelystä ja aiheutti pankilleen satojen miljoonien tappiot. Stenforsia ei syytetty rikoksista, mutta hän sai usean vuoden toimintakiellon alalle. "Pankkimaailman pimeä puoli" kertoo pääasiassa nimensä mukaisesti erityisesti libor-korkoihin ja valuuttoihin liittyvien johdannaisten maailmasta ja siitä miten niiden kursseja on pystytty manipuloimaan. Hieman yllättäenkin tämä on Stenforsin keskeinen sanoma - kirja ei ole siis elämäkerta vaikkakin hänen oma tarinansa kulkee osittain mukana. Stenfors on suomenruotsalainen, mutta Suomi jää pariin mainintaan matkan varrella. Kirjankin alkukieli on englanti. Mainittakoot myös, että kirja ei käsittele osakekauppaa eikä siinä puhutaan lainkaan esimerkiksi HFT-kaupasta (ultranopeasta kaupasta). Se antaa kuitenkin kohtalaisen kurkistuksen johdannaismaailmaan vaikkei lukijalla alasta olisikaan kuin perustiedot.

[Aida Saldana Hernandez · Rating 4 out of 5]

I have always had reservations regarding finance, and this book confirms them. I think it is very easy to lose your ground when dealing with large amounts of money being traded in a short period of time. Being able to make decisions under such pressures is risky and can be very taxing for the body and the mind. I enjoyed reading this book because it talks about the job of a trader and how the world came to classify him as a rogue trader. Very well done for turning things around and rebuilding his life in academia. This is something not many people are willing nor able to do.

[Yuni Amir · Rating 5 out of 5]

An account of a rates trader. Learnt the fundamentals of trading activities. Even though I am one of those in-the-glass-room people, the risk magnitude is rather different. The considerations are more sophisticated.

An eye opener on tricks and manipulations of the trading world.

[Lauri · Rating 1 out of 5]

Kirjailijan pakonomainen syyttömyytensä todistelu lähes jokaisella sivulla teki lukukokemuksesta erittäin raskaan. Muuten kirja sisälsi hyvin millaista elämä on pankkimaailman ytimessä. 1/5