“Ole David X-marks-the-spot Li. A Chinese swashbuckler who rode into town and duped the entire American financial system into believing that he could lasso risk.” Kalchefsky turned and wrote on the board: Pr[TA<1, TB<1] = ϕ2(ϕ-1(FA(1)), ϕ-1(FB(1)), γ) Whoa. How did he just reel that off? Impressive. “You know why the dental hygienist got the mortgage for her million-dollar home? Because of this formula. You know why AIG needed a bailout? Because of the ways that Wall Street tried to profit off of that mortgage. You know why Wall Street thought that they could make millions off of the
...more
