Derivatives still wreaking havoc? (Pension Pulse)

Policymakers Fiddle as Derivatives Keep Burning Investors Worldwide @ Yahoo! Video

The silence of pension funds on post-crisis reforms is truly discouraging. The biggest pension funds will routinely meet at ILPA meetings (Institutional Limited Partners Association) to discuss private equity investments but they rarely, if ever, discuss bolstering corporate governance or financial reforms.

I won't get into a whole discussion on what I think pension funds should be doing to bolster corporate governance. At a minimum, they should stop allowing Wall Street firms to continue paying ungodly bonuses even if they lose billions of dollars. That's just insane.

Also, watch the interview below with FT Alphaville reporter Stacy-Marie Ishmael on how investors will get burned again on derivatives. Ishmael thinks there should be a "rethink of suitability" when it comes to derivatives as well as "higher standards of disclosure."
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