Setups 2 - the popcorn thread

[Mr. Charts]

"If he had been given the right training/experience he wouldn't have done what he did. "

Must disagree strongly with that.
People make mistakes, they get carried away, especially with trading and esp. when the gambling urge is involved.
In other fields people still make mistakes however good the training and associated experience might be.
Think about learning to drive, pilot error etc.
People aren't machines, all sorts of mental and emotional imput affect output and decision making.
Strong self discipline and self control make the difference in the end.
Richard

 

[tafita]

Barings did not know what he was up to in terms of risk. That they did not manage his risk was their fault. Leeson blowing up his account was his fault. Both deserved what happened to them. There is a lesson to both firms and individual traders in regard to this. He was saying/acting in one way and telling everyone else the opposite, sound familiar?

 

[trader_dante]

He was saying/acting in one way and telling everyone else the opposite, sound familiar?

No. Should it?

 

[Calinor]

tbh it was as much Barings' fault he blew up as his, possibly more so. If he had been given the right training/experience he wouldn't have done what he did.

Not sure the second sentence is true, but the first sentence definitely is. It is as much their fault as his. Would you allow someone to trade with enough of your money to make you bankrupt, without doing proper checks on how it was going or keeping limits on the risk? If you allow someone to do that with your money, then you're just asking for it, and have to take responsibility, regardless of the trader that blows it up.