One of my continuing concerns about the financial system is the lack of attacking the root issue of the financial crisis - too much leverage and debt.
What was initially private debt has now become public (sovereign) debt. And the moral hazard remains in place amongst many financial institutions and large insurance companies. Another set of bailouts is essentially guaranteed if and when another crisis arises.
In my view, banking should be one of the most boring businesses in which to have a career, on the planet. A monolithic, low leveraged, extremely robust system, not prone to the manipulations and ambitions of politicians and sociopaths is ideal.
What we have instead, is a giant hedge fund in the banking world and in the fiat monetary system itself.
We need the strength and reliability of a cement truck like system, rather than the moody, temperamental Ferrari race car system that seems prone to more repairs than a 1980s Jaguar.
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