Then in November 2007, Verschleiser wrote to his risk committee that he knew insurers for mortgage securities were going to have big financial problems. He suggested they multiply by ten times the short bet he’d just made against stocks like Ambac. These e-mails show Verschleiser’s trading desk bragging to firm leadership that he made $55 million off shorting insurers’ stock in just three weeks.
Where’s Verschleiser now? He heads the mortgage department at Goldman Sachs.
We could use some more reporting on who these 131 individuals are. Good for Stempel and Reuters for pointing them out.
(h/t Yves Smith)