Video: Bloomberg interviews Morgan Stanley CEO John Mack
The reporter caught Mack during a break in the FCIC hearings last month. Mack is measured and realistic. A few relevant facts from the clip and elsewhere:
1) Always remember, that Mack told Tim Geithner "to go f*ck himself" during the heat of the crisis in the Fall of 2008. Bonus points on top of bonus points.
2) Mack has not taken a bonus as CEO of Morgan Stanley for 3 consecutive years, including this year when Dimon took $17 million, Blankfein took $9 million and Bob Diamond of Barclays took more than $30 million.
3) Mack accepts and endorses limits on leverage for investment banks. Do not understate the elegant simplicity of this remedy. Just switch the rules back to pre-2005 levels (12X capital) and you will have eliminated substantial excessive risk-tasking.
4) Mack accepts and endorses a Wall Street TBTF tax.
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Video: FCIC Hearings recap with footage and quotes from all the Wall Street CEOs
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(Screenshot...video is above)
