mirror of
https://github.com/verymeticulous/wikAPEdia.git
synced 2025-06-10 11:47:56 -05:00
Moving Chaos Theory series by sharkbaitlol to Must Read directory
This commit is contained in:
verymeticulous
@ -1,326 +0,0 @@
|
||||
Chaos Theory - The EVERYTHING Connection
|
||||
========================================
|
||||
|
||||
| Author | Source |
|
||||
| :-------------: |:-------------:|
|
||||
| [u/sharkbaitlol](https://www.reddit.com/user/sharkbaitlol/) | [Reddit](https://www.reddit.com/r/Superstonk/comments/mokvhk/chaos_theory_the_everything_connection/) |
|
||||
|
||||
---
|
||||
|
||||
[DD 👨🔬](https://www.reddit.com/r/Superstonk/search?q=flair_name%3A%22DD%20%F0%9F%91%A8%E2%80%8D%F0%9F%94%AC%22&restrict_sr=1)
|
||||
|
||||
EDIT 1: THE MODS DID NOT TAKE DOWN THE POST. THIS WAS A RESULT OF ME ATTEMPTING TO INCLUDE THE STORY BELOW IN EDIT 4 FROM A BLACKLISTED SITE ARTICLE WHICH CAUSED THE AUTOMOD TO DELETE THE POST. I hoped that the removal of the link fixed the text but it didn't, this is a Reddit issue, not a mod one. LAY OFF THE MOD NARRATIVE
|
||||
|
||||
EDIT 2: Thank you everyone for the feedback so far; I posted this here as a means to incite further conversation and thoughts. I'm modifying this post as I go, understanding that certain elements are simply TOO speculative.
|
||||
|
||||
EDIT 3: There seems to be concern in how I've represented Swiss Re as a reinsurer. I'd just like to confirm that they self-identify as such on most of their portals. You can verify this via a quick Google Search. They also [DO handle re/insurance asset management](https://www.swissre.com/our-business/managing-our-assets) contrary to what has been mentioned.
|
||||
|
||||
EDIT 4: [BlackRock appears to be eyeing Credit Suisse fund management arm](https://www.reuters.com/article/us-credit-suisse-asset-management-m-a-ex-idUSKBN2BW2CT). I'll let you speculate what this may mean in relation to their existing relationship with Swiss Re
|
||||
|
||||
EDIT 5: It is not my intention to make this community appear as a team of conspiracy theorists. There are some deep implications with the evidence that I've showcased that potentially show deeper interlinking between hundreds of the biggest companies. I couldn't possibly attempt to explain each and every single web, so I leave it to you to continue digging!
|
||||
|
||||
EDIT 6: Look I get it, some of you feel that the fact we have tax havens around the world AREN'T a big deal. What is interesting however is that all these players are registered to the same place, and it appears that the government wants to do something about it
|
||||
|
||||
EDIT 7 (April 12th, 2021): We now have the inclusion of Mr. Gary Gensler to the mix who will be heading the SEC starting the 19th of April (talk about timing huh). He specializes in cryptocurrencies and darkpools - but more importantly he was the only that finally called on the banks during the 2008 recession: <https://tax.thomsonreuters.com/news/senate-set-to-approve-gary-gensler-nomination-for-sec-chairman-but-likely-for-brief-term/>
|
||||
|
||||
EDIT 8: In-case you're curious, the former SEC chairman, Jay Clayton (brought in during the Trump administration) just took a job at Apollo Global Management (which [Tiger Global Management] holds a 14.8% stake in, making them the largest shareholder of Apollo other than a private holdings company from Apollo themselves (BRH) (<https://fintel.io/so/us/apo>));
|
||||
|
||||
Lets not forget about Mr. Heath Tarbert, who was the former chairmen of the CFTC (Commodity Futures Trading Commission) who just got hired by Kenny boy as one of his Chief Legal Officers at Citadel not even 2 weeks ago. Heath had this to say about his friend Jay Clayton.
|
||||
|
||||
> "It has been an honor to serve alongside Jay Clayton. He is one of the smartest and most capable transactional attorneys in the country and an even better colleague and friend. As leaders of the SEC and CFTC, we have worked together closely to harmonize our rules where appropriate and hold wrongdoers accountable.
|
||||
|
||||
Directly from the cftc site: <https://cftc.gov/PressRoom/PressReleases/8310-20> . Still not a conflict of interest?
|
||||
|
||||
Now back to the post,
|
||||
|
||||
Citadel, BlackRock, Susquehanna, and many others are intricately connected through a variety of sources; namely offshore tax havens as proven through the Panama & Paradise Papers. I attempt to piece together what I believe is the reason we are seeing certain behavior from each of these parties.
|
||||
|
||||
What you're about to read is MY ATTEMPT to amalgamate multiple pieces of DD by various users from across multiple subs, discord and private discussions in an attempt to piece together what may be happening behind the scenes in the darkside of the financial world. THIS DOES NOT MEAN IT'S 100% RIGHT, SIMPLY MY THOUGHTS ON HOW ALL THESE ELEMENTS MAY PIECE TOGETHER.
|
||||
|
||||
I INTEND FOR THIS TO BE THE START OF A FRAMEWORK THAT GETS DEVELOPED OVER TIME. I HOPE TO PROVIDE A STARTING POINT.
|
||||
|
||||
Now grab yourself a beer and strap in, this is about to get crazy. 👨🚀👩🚀
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
This is an incredibly complicated web with MULTIPLE moving pieces. I will attempt to streamline the findings as much as possible to ease of understanding.
|
||||
|
||||
1. Introduction; Prerequisites
|
||||
|
||||
2. Follow The Money
|
||||
|
||||
3. Let's take a trip to the Cayman Islands and Back Again
|
||||
|
||||
4. The Ugland House
|
||||
|
||||
5. A New Foe Has Appeared
|
||||
|
||||
6. Familiar Faces
|
||||
|
||||
7. What does this mean for apes?
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
SECTION 1. INTRODUCTION
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
As a prerequisite I highly recommend reading through [/u/atobitt](https://www.reddit.com/user/atobitt) 's "[The EVERYTHING Short](https://www.reddit.com/r/GME/comments/mgucv2/the_everything_short/)" whitepaper. It provides a lot of context as to what's going on under the hood and gets you primed for this post. I'd also highly recommend reading through [/u/pinkcatsonacid](https://www.reddit.com/user/pinkcatsonacid) 's DD "[The Missing 🧩](https://www.reddit.com/r/Superstonk/comments/mlf82b/the_missing_citadels_frenemies_pfof_michael/gtneg3m/?context=3)"; for an understanding of how much deeper this potentially goes. Lastly thank you to [/u/tropicalsecret](https://www.reddit.com/user/tropicalsecret) for helping me hash out some missing pieces and their [investigative work](https://www.reddit.com/r/Superstonk/comments/mnlvhf/here_is_all_the_arms_of_susquehanna/) as well.
|
||||
|
||||
My name is [/u/sharkbaitlol](https://www.reddit.com/user/sharkbaitlol) and over the last couple of weeks or so I've prioritized investigating this story further while putting my consultancy on hold - I feel that this is the start of something bigger than any of us can imagine that can improve ours, and our children's lives. I've prided myself in my career as a data scientist and a lifelong gamer in being able to pick up on patterns. I hope that I'm able to help support our community further with this DD. Special thank you to all those who have contributed their time and expertise to getting us this far. I will be referencing other DD written and hope you understand that even if not mentioned, almost every single DD post written by apes has helped getting us closer to the truth.
|
||||
|
||||
With that being said, lets jump in.
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
SECTION 2. FOLLOW THE MONEY
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
As we know Susquehanna has been of interest in recent weeks due to their suspicious nature of their position within the GME saga. This suspicion grew quickly when some Redditors pointed out that Dr. Burry may have been pointing a finger at Susquehanna through a hidden message on [Twitter](https://www.reddit.com/r/Superstonk/comments/mlf82b/the_missing_citadels_frenemies_pfof_michael/) (whether this is really what was happening is up to you) - now we have Sus attempting to [appeal new DTCC regulations](https://www.reddit.com/r/Wallstreetbetsnew/comments/mmh5jb/susquehanna_is_sus_part_2_elia_the_occ801_rule/) SR-OCC-2021-003 to make things even weirder. Their growing position prompted me me to start doing a deep dive on their positions across the market; particularly how they've [DOUBLED](https://i.imgur.com/KEE1ZQl.png) in size since the start of the pandemic, parties of association, and conflict of interest across the stock market. What I was able to find has left me baffled at how interconnected all this actually is. Remember this throughout this post, THERE ARE NO COINCINDICES.
|
||||
|
||||
We begin by looking at Susquehanna's filings to the SEC. We're able to figure out that they break down into multiple connections with the following:
|
||||
|
||||
- Susquehanna Investment Group
|
||||
|
||||
- Susquehanna Securities, LLC
|
||||
|
||||
- Capital Ventures International
|
||||
|
||||
- Susquehanna Advisors Group, Inc
|
||||
|
||||
- CVI Opportunities Fund I, LLLP
|
||||
|
||||
- G1 Execution Services, LLC
|
||||
|
||||
- Darby Financial Products
|
||||
|
||||
Now I've highlighted Capital Ventures International (CVI) as this will be our main point of interest of now for the peculiar reason that they're based out of Cayman Islands. You know, that little island of 64k people where Citadel is laundering bonds? Yeah it turns out they're not the only ones, not by a long shot.
|
||||
|
||||
[](https://preview.redd.it/uj4px3tl8hs61.png?width=703&format=png&auto=webp&s=aa693f06904bd495f05e773fbd954c580677b2d5)
|
||||
|
||||
"The ultimate beneficial owners of Susquehanna and CVI are substantially the same". Source: Finra
|
||||
|
||||
You can find the source for the address on BrokerCheck Report [here](https://files.brokercheck.finra.org/firm/firm_35865.pdf) under Finra's website. What they're saying basically saying is that description at the end there, is that Susquehanna Financial and CVI are beneficially owned by the same company (fancy speak for have 25% or more total control of the company); CVI hold around [$839 million.](https://fintel.io/i/cvi-investments)
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
SECTION 3. LET'S TAKE A TRIP TO THE CAYMAN ISLANDS AND BACK AGAIN
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
Great now that we understand that CVI is in bed with Susquehanna and owned by them; lets go a layer deeper. It's mentioned that this address is located at Winward 1, Regatta Office Park, Grand Cayman, Cayman Islands. I was genuinely curious if this address was even real; after a quick Google search, none other than the PARADISE PAPERS come up. Remember the massive investigation that exposed some of the most powerful leaders to tax havens around the world?
|
||||
|
||||
[Offshoreleaks](https://offshoreleaks.icij.org/) is a pretty amazing website that allows you to do a network visualization to see who's connected with what. So we start digging; *keep in mind that the data from these papers are from 2014 so some names/elements have been slightly modified since then.*
|
||||
|
||||
[](https://preview.redd.it/je2dzgbn8hs61.png?width=1174&format=png&auto=webp&s=c9bc1b50175baaad96fb658ad807da37fd0a8f4b)
|
||||
|
||||
We connected directly to someone named William Walmsley. Source: Offshoreleaks
|
||||
|
||||
You'll notice that Mr. Walmsley comes up a few times throughout this post, but for now we see that he's connected to this address that CVI is registered to. We can confirm his participation in CVI via a 13G FILING through the SEC.
|
||||
|
||||
He's the director of CVI as seen [here](https://www.sec.gov/Archives/edgar/data/1649553/000110465919006973/a19-4181_31sc13g.htm).
|
||||
|
||||
[](https://preview.redd.it/yrsl1u9qchs61.png?width=1341&format=png&auto=webp&s=7fb91baef9bc9b5f159958496da49246d3c4bb2c)
|
||||
|
||||
*EDIT: FURTHER VALIDATION OF APOLLO INVESTMENTS LIMITED REQUIRED. THIS APPEARS TO BE A REGISTERED ENTITY IN THE CAYMAN ISLANDS AS A SHELL NAME. I CANNOT CONFIRM IF THIS IS ACTUALLY THE APOLLO INVESTMENTS MENTIONED BELOW YET. THERE'S MANY NAMES THAT COME CLOSE TO THIS SHELL COMPANY YOU SEE HERE. WE GET APOLLO VALUE INVESTMENT Offshore Fund LTD, WHICH IS AS YOU GUESSED - ANOTHER OFFSHORE SHELL COMPANY IN THE CAYMAN ISLANDS. YOU EITHER CHOOSE TO BELIEVE THAT THEY HAVE A COMPANY CALLED APOLLO INVEMENTS LIMITED BY CHANCE, OR THAT IT HAS SOMETHING TO DO WITH APOLLO INVESTMENTS. EVEN WITHOUT THIS PIECE WE STILL SEE APOLLO'S HAND IN THE UGLAND HOUSE:* [*https://whalewisdom.com/filer/apollo-total-return-co-investors-a-lp*](https://whalewisdom.com/filer/apollo-total-return-co-investors-a-lp)
|
||||
|
||||
We see a second address come up in the above screenshot for a place called the "Ugland House" located in the Cayman Islands in this filing associated with CVI. Hold that thought for now, we'll go over it soon.
|
||||
|
||||
Going back our network visualization screen shot with Mr. Walmsley, he leads us to yet another connection called "Apollo Investments" (you'll notice that CVI isn't on that screenshot, this is because the first filings we see for CVI is at the end of year 2017 whereas the Paradise Papers were published prior to that). "Apollo Investments" will be the next piece of the puzzle.
|
||||
|
||||
So who are they? Well we know they manage about $13bn and invest mostly in finance, industrials, and information technology (top buys being SPY puts (oof, there goes a chunk of change)) *[just want to clarify here that Apollo Investments is directly affiliated with Apollo Management, you get redirected on their site to the main Apollo Page].*
|
||||
|
||||
So to recap we know that Mr. Walmsley is located in the Cayman Islands, Director of CVI which is owned by Susquehanna, AND some sort of senior title in a a company called Apollo Investment.
|
||||
|
||||
EDIT: For a whole another rabbit hole check out Jay Clayton who was chairman of the SEC (as instated during the TRUMP administration) who now works for Apollo: <https://en.wikipedia.org/wiki/Jay_Clayton_(attorney)> with the following description: " In February 2021, [Apollo Global Management](https://en.wikipedia.org/wiki/Apollo_Global_Management) appointed Clayton to the newly created role of lead independent director on its board "
|
||||
|
||||
Lets not forget about Mr. Heath Tarbert, who was the former chairmen of the CFTC (Commodity Futures Trading Commission) who just got hired by Kenny boy as one of his Chief Legal Officers at Citadel not even 2 weeks ago. Heath had this to say about his friend Jay Clayton.
|
||||
|
||||
> "It has been an honor to serve alongside Jay Clayton. He is one of the smartest and most capable transactional attorneys in the country and an even better colleague and friend. As leaders of the SEC and CFTC, we have worked together closely to harmonize our rules where appropriate and hold wrongdoers accountable.
|
||||
|
||||
Directly from the cftc site: <https://cftc.gov/PressRoom/PressReleases/8310-20> . Still not a conflict of interest?
|
||||
|
||||
EDIT 2: Maybe I'm just cherry picking information here, but we see that Citadel had hired Apollo's head of corporate credit trade in the last 2 years; check out this excerpt "
|
||||
|
||||
> Since joining Citadel in 2019, Salame, one of Wall Street's most prominent trading executives, has expanded the credit team amid a hiring spree at the firm. He last week hired Prakash Narayanan from CQS, who was one of Michael Hintze's top performers. David Casner joined from Goldman Sachs Group Inc. last year as head of convertible bonds and equity volatility."
|
||||
|
||||
Interesting.. Head of convertible bonds and equity volatility...
|
||||
|
||||
<https://www.chicagobusiness.com/finance-banking/citadel-hires-apollos-head-corporate-credit-trading>
|
||||
|
||||
Now have a look at who are the [majority stakeholders](https://fintel.io/so/us/apo%201%20c38) are of Apollo Global Management:
|
||||
|
||||
[](https://preview.redd.it/opu7bsip8hs61.png?width=981&format=png&auto=webp&s=77e5d78bf2272a6886e22248131749b7e4cd2fc1)
|
||||
|
||||
Hmmm, some familiar faces. Source: Fintel
|
||||
|
||||
Wait... TIGER GLOBAL MANAGEMENT? Hasn't one of the Tiger Cubs associated with them -- you know, just gotten blown up? More on [The Archegos phiasco](https://finance.yahoo.com/news/rattled-archegos-stocks-investable-again-201150296.html) and how they screwed Credit Suisse. How VANGUARD is associated here, I'm not exactly sure yet...
|
||||
|
||||
Remember how I said there's no coincidences? Lets have a look where both APOLLO and TIGER GLOBAL MANAGEMENT are located in New York.
|
||||
|
||||
INTRODUCING THE SOLOW BUILDING
|
||||
|
||||
[](https://preview.redd.it/n0bywa0r8hs61.png?width=852&format=png&auto=webp&s=f32f2f8de1c3b0a12330dd3aab0efa5869b05e3a)
|
||||
|
||||
I can't remember where I saw it, but I believe Mr. Walmsley had something to do with Highland Capital too. I have hundreds of tabs open guys you'll have to give me a pass on this one. Source: Wikipedia
|
||||
|
||||
We'll totally ignore the other tenants for now; although I'm sure they have their hand in the cookie jar haha (cough* Chanel, cough* Bombardier). But lo and behold, one of the largest holders of Apollo are the Tigers which happen to be in the same building. [What a story](https://www.youtube.com/watch?v=ddu4Gj3hmgc) huh.
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
SIDE QUEST TIME
|
||||
|
||||
Marc Rowan of Apollo became the new CEO just back in February of this year after the old CEO Leon Black stepped down due to links to "the late financier and convicted sex offender J3FFR3Y 3PST3IN". [WHAT LOL](https://www.reuters.com/article/us-apollo-global-ceo-idUSKBN2AO2XF).
|
||||
|
||||
Rowan was also quoted saying the following during a Credit Suisse Financial Services Forum:
|
||||
|
||||
> "The opportunity, nothing other than that, and in the middle of a pandemic taking a sabbatical is never a good idea," Rowan said during the Credit Suisse Financial Services Forum when asked why he wanted the role.
|
||||
|
||||
[](https://preview.redd.it/usiabvps8hs61.png?width=956&format=png&auto=webp&s=1041a9ba3cdb41004d191f9bf8c308661f95bd0e)
|
||||
|
||||
JUST WHEN YOU THOUGHT IT COULDN'T GET CRAZIER. Source: Reuters
|
||||
|
||||
SIDE QUEST PART 2
|
||||
|
||||
Tiger Global Management's Executive Scott Shleifer in the last month purchased a lovely $132 million dollar Palm Beach house on a piece of land owned by the former President. He also owns 14.8% of Apollo Global Managment:[SEC 13G/A Filing](https://sec.report/Document/0000919574-21-001610/)
|
||||
|
||||
[](https://preview.redd.it/pthryabv8hs61.png?width=629&format=png&auto=webp&s=3338924d3d43eb65d968c23de215b1ff62453790)
|
||||
|
||||
Sounds like someone we know, *cough Ken*. Source: Bloomberg
|
||||
|
||||
HOLD YOUR BREATHE, WE'RE GOING DEEPER
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
SECTION 4. THE UGLAND HOUSE
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
Let's go back to that other address we saw registered with CVI Investments; we see another business address labelled under a place called the "Ugland House, Grand Cayman, Cayman Islands". I did some more research around this place and SURPRISE, right back to the Paradise Papers we go.
|
||||
|
||||
[](https://preview.redd.it/bn2g8g0y8hs61.png?width=1341&format=png&auto=webp&s=976494dea948c3d3e40f4d253ba889222718f48e)
|
||||
|
||||
This place is so COOL that it has it's own Wikipedia page! <https://en.wikipedia.org/wiki/Ugland_House>
|
||||
|
||||
I love this quote from Wikipedia on it:
|
||||
|
||||
> " During his first presidential campaign, U.S. President [Barack 0bama](https://en.wikipedia.org/wiki/Barack_Obama) referred to Ugland House as "the biggest tax scam in the world", raising questions over the number of companies with a registered office in the building."
|
||||
|
||||
Here's a picture of this monster sized building that houses 40,000 entities and businesses
|
||||
|
||||
[](https://preview.redd.it/juhw8s219hs61.jpg?width=1024&format=pjpg&auto=webp&s=0f8b0ccc24cd7ea9a3c2210c88e74d1c6a0d91d7)
|
||||
|
||||
Where do you think they fit all of them?
|
||||
|
||||
So lets see what's connected to this address
|
||||
|
||||
That EXACT address (the exact way it was written out on the CVI document), is linked to a company called MOUSSESCALE which is owned by Mousse Partners. REMEMBER, there's thousands of businesses registered here, but they seem to have some variants or "locations" within the Ugland House. However guess where the Mousse Partners NY office is... 9 West 57th street which is...
|
||||
|
||||
[](https://preview.redd.it/nj3z25g59hs61.png?width=463&format=png&auto=webp&s=98ebad8992d1e1cbe56a0b6ddcb9433850b63324)
|
||||
|
||||
REMEMBER NO COINCIDENCES
|
||||
|
||||
BTW look what's just around the corner of the Solow building
|
||||
|
||||
[](https://preview.redd.it/o709v7na9hs61.png?width=316&format=png&auto=webp&s=de1d7224f0d4276daf5d01c43a3d261b4e085677)
|
||||
|
||||
maybe just a coincidence, New York is a small place
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
ANOTHER SIDE QUEST
|
||||
|
||||
Did I also mention that the Chief Investment Officer of Mousse Partner Limited, Suzi Kwon Cohen (can't make this up), was the principal at Credit Suisse in Private Equity? Just 2 floors below Apollo?
|
||||
|
||||
There's also only 44 people that work at Mousse Partners... Man what are the *chances*.
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
FUN FACT
|
||||
|
||||
Susquehanna has associations with other "[organization affiliates](https://files.brokercheck.finra.org/firm/firm_35865.pdf) (see "SAL Trading, LLC"; "DARBY FINANCIAL PRODUCTS"; "SIG STRUCTURED PRODUCTS, LLLP") at 1201 N Orange St, Wilmington, DE, USA. You can read all about those shenanigans here: <https://en.wikipedia.org/wiki/Corporation_Trust_Center_(CT_Corporation)>
|
||||
|
||||
Spoiler, it's another tax loophole right in Delaware's backyard with 285,000 separate businesses registered to it.
|
||||
|
||||
EDIT: Some people seem to think this is a null point; it is your opinion on whether you think this is right or wrong even if it's a legal loophole. This location has been linked to 9.5 billion dollars of taxes have been evaded as a result of this location (as of 2012).
|
||||
|
||||
Here's the behemoth of a building that houses 285k businesses.
|
||||
|
||||
[](https://preview.redd.it/f3c09jwd9hs61.jpg?width=2560&format=pjpg&auto=webp&s=78d8ce5409e0fc6c2ef5c39f1f8c526c5acd6edd)
|
||||
|
||||
I hope they have enough parking space for everyone
|
||||
|
||||
I CAN'T BELIEVE I'M SAYING THIS, BUT WE'RE GOING EVEN DEEPER
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
SECTION 5. A NEW FOE HAS APPEARED ----- TREAD LIGHTLY, SOME ELEMENTS HERE LIKE THE BLACKROCK -> CITADEL COMPONENTS ARE SPECULATIVE
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
Now how is Citadel involved with all this you may wonder? Well as it turns out, they have an entity tied to the Ugland house as well; that's right the same exact building that Apollo and CVI (Susquehanna) are connected to. [[Citadel Kensington Global is a direct subsidiary of Citadel]](https://whalewisdom.com/filer/citadel-kensington-global-strategies-fund-ltd) who are due for another D/A filing sometime in May. They manage a cool 17bn.
|
||||
|
||||
[](https://preview.redd.it/7yerskyg9hs61.png?width=788&format=png&auto=webp&s=449638a65214090de733db68847ab33857716ab7)
|
||||
|
||||
Turns out Citadel is doing some business overseas
|
||||
|
||||
Now we start to getting into [/u/atobitt](https://www.reddit.com/user/atobitt) 's territory of the "EVERYTHING Short" research. They're (Citadel) operating out of multiple places in the Cayman Islands and the Ugland House is the prime destination. They're flipping bonds here and making bank.
|
||||
|
||||
Now GUESS who we build a direct connection to?
|
||||
|
||||
[](https://preview.redd.it/qofbn2hh9hs61.png?width=1870&format=png&auto=webp&s=cdc0cee399c1623e461f81b4924ff514d424bf53)
|
||||
|
||||
Wait a minute, what's BlackRock doing here?
|
||||
|
||||
As it turns out BlackRock is the owner of a company called Swiss Re. Now who's Swiss Re?
|
||||
|
||||
Directly from their [Wikipedia Page:](https://en.wikipedia.org/wiki/Swiss_Re)
|
||||
|
||||
*The Swiss Reinsurance Company of Zurich was founded on 19 December 1863 by the Helvetia General Insurance Company (now known as* [*Helvetia Versicherungen*](https://en.wikipedia.org/wiki/Helvetia)*) in* [*St. Gallen*](https://en.wikipedia.org/wiki/St._Gallen)*,* *the Schweizerische Kreditanstalt (*[*Credit Suisse*](https://en.wikipedia.org/wiki/Credit_Suisse)*) in* [*Zurich*](https://en.wikipedia.org/wiki/Zurich) *and the Basler Handelsbank (predecessor of* [*UBS AG*](https://en.wikipedia.org/wiki/UBS_AG)*) in* [*Basel*](https://en.wikipedia.org/wiki/Basel)*.*
|
||||
|
||||
That's right, Swiss Re was formed by none other than CREDIT SUISSE
|
||||
|
||||
Some more on them:
|
||||
|
||||
They're basically something called a *reinsurer.* In-case you're not familiar:
|
||||
|
||||
*A* *reinsurer* *is an insurance company that insures the risks of other insurance companies. A cedant is an insurer who transfers all or part of a risk to a* *reinsurer**. The* *reinsurer* *covers all the insurance policies coming within the scope of the reinsurance contract.*
|
||||
|
||||
They're the insurance, FOR the insurance. Why is this important? Look who owns them as of 2012 [[BlackRock]](https://ir.blackrock.com/news-and-events/press-releases/press-releases-details/2012/BlackRock-to-Acquire-Swiss-Re-Private-Equity-Partners-AG-Announces-Strategic-Alternative-Investment-Partnership-with-Swiss-Re-Enhances-Private-Equity-Fund-of-Funds-Capabilities-Deepens-Presence-in-Switzerland/default.aspx). I should also mention at this point that Swiss Re manages a cool $240bn in assets as of 2019 - nothing to be scoffed at. Add to the fact that 39% of their investments are in government bonds, and 27% in credit bonds; *directly from their* [investor presentation](https://www.swissre.com/dam/jcr:205daff9-56f9-445f-a2cd-9d3aba31253e/fy-2020-slides-presentation-doc.pdf)*:*
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
SECTION 6. FAMILIAR FACES -------- PLEASE NOTE THAT THIS COMPONENT IS PURELY MY SPECULATION ON THE MATTER YET AGAIN; WE CANNOT DEFINITELY SAY FOR CERTAIN THAT THIS CONNECTION BETWEEN BLACKROCK + SWISS RE AND CITADEL + PALAFOX EXISTS. UNFORTUNATELY THE DATA FROM THE PARADISE PAPERS AREN'T RECENT ENOUGH
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
Now that we understand who Swiss Re is; INTROOOOOOODUCING OUR BACK-TO-BACK ALL-STAR, PALAFOX TRADING LLC!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
|
||||
|
||||
Already made infamous in the "EVERYTHING Short" post once again, Palafox has been acting as a direct proxy for Citadel as a means to rehypothecate bonds to quickly cash out and add liquidity to the market.
|
||||
|
||||
Now how do THEY connect? First we see that the public accountant is a company called Pricewaterhousecoopers which work with Palafox. EDIT HERE: Thank you to the community for helping clear this point up. We know that this may be a null conclusion considering PWC works across a multitude of clients across the world. For now all that we can say for certain in this section is that Citadel & BlackRock have registered entities to the Ugland House. Do with that information what you will. THIS DOES NOT NECESSARILY MEAN THEY HAVE ANYTHING TO DO WITH EACH OTHER. REMEMBER 40K BUSINESSES ARE REGISTERED HERE!
|
||||
|
||||
Now lets zoom out on the network visualization from earlier that connect BlackRock with Citadel through the Ugland House.
|
||||
|
||||
[](https://preview.redd.it/9xf86o4n9hs61.png?width=1435&format=png&auto=webp&s=7fa60032511f78748d3e008455abcfb2c3bb2ee3)
|
||||
|
||||
EDIT: REMOVED SECTION ATTEMPTING TO EXPLAIN THE CONNECTION AS IT WAS TOO SPECULATIVE. JUST KNOW FOR NOW THAT BOTH MEMBERS HAVE ENTITIES ARE REGISTERED TO THE SAME TWO LOCATIONS IN CAYMAN ISLANDS AND BAHAMAS
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
SECTION 7. WHAT DOES THIS MEAN FOR APES
|
||||
|
||||
________________________________________________________________________________________________________
|
||||
|
||||
I believe the connection between Susquehanna > CVI > Apollo > Tiger Global Management> Credit Suisse > Swiss Re > Citadel > BlackRock is incredibly complex and has many moving pieces beyond what any of us imagined. I believe that there is a 5D game of chess being played, and apes are just a pawn that is plowing the way to victory. IT IS IN MY OPINION that BlackRock isn't just looking to kill off Mevlin. I think they may be working with the government + fed(which has been shown they've done on occasion) to make some major changes happen to the market. What's the end goal? It's not entirely obvious to me yet. You can read a bit more about it on Bloomberg under the title "Why BlackRock is now the 'fourth branch of government' ". Sorry I'd post the link but I don't want automoderator to kick in again (just google that title).
|
||||
|
||||
As I was compiling this information look for no further than the POTUS himself for confirmation bias just from 3 days ago: SKIP TO 38:20 OR SO <https://twitter.com/potus/status/1379857925875888128?s=21>
|
||||
|
||||
> *I've also proposed a global minimum tax... Let me tell you what the means, that means companies won't be able to hide their incomes in places like the Cayman Islands or Bermuda*
|
||||
|
||||
EDIT (April 12th, 2021): We now have the inclusion of Mr. Gary Gensler to the mix who will be heading the SEC starting the 19th of April (talk about timing huh). He specializes in cryptocurrencies and darkpools - but more importantly he was the only that finally called on the banks during the 2008 recession: <https://tax.thomsonreuters.com/news/senate-set-to-approve-gary-gensler-nomination-for-sec-chairman-but-likely-for-brief-term/>
|
||||
|
||||
TLDR; I think there's a lot of shady things going on in the world. Whether you believe all of it, or none of it; JUST HODL. I hope this framework can help you start your own research in figuring out what we're dealing with here!
|
||||
|
||||
We are approaching something huge apes. Diamond Fucking Hands 💎✋🦍
|
||||
@ -1,52 +0,0 @@
|
||||
CHAOS THEORY - Conflicts of Interest
|
||||
====================================
|
||||
|
||||
| Author | Source |
|
||||
| :-------------: |:-------------:|
|
||||
| [u/sharkbaitlol](https://www.reddit.com/user/sharkbaitlol/) | [Reddit](https://www.reddit.com/r/Superstonk/comments/mpmnzt/chaos_theory_conflicts_of_interest/) |
|
||||
|
||||
---
|
||||
|
||||
[Discussion 🦍](https://www.reddit.com/r/Superstonk/search?q=flair_name%3A%22Discussion%20%F0%9F%A6%8D%22&restrict_sr=1)
|
||||
|
||||
TLDR; Citadel's latest hire, Heath Tarbert is too interconnected to other parties for it to be NOT considered one conflict of interest after another.
|
||||
|
||||
I'm [/u/sharkbaitlol](https://www.reddit.com/u/sharkbaitlol/) back for a quick update on recent developments. This continues in collaboration with my previous DD, "[CHAOS THEORY - The EVERYTHING Connection](https://www.reddit.com/r/Superstonk/comments/mokvhk/chaos_theory_the_everything_connection/)" where we discussed off-shore tax havens in the Cayman Islands and Bermuda. More specifically how we're able to link companies like Apollo, Citadel, Tiger Global Management to places like the Ugland House in the Cayman Islands (just a reminder this connection in the Cayman Islands doesn't necessarily mean they're working with each other).
|
||||
|
||||
We also went over how there may be a larger agenda at play with BlackRock looking to [make a move on Credit Suisse now](https://finance.yahoo.com/news/blackrock-blk-mulling-buy-credit-174205125.html), and how they've collaborated with the Fed over the last year getting to help manage the economic impact of the pandemic as seen in the quote below:
|
||||
|
||||
> The contract, posted on the website for the New York Federal Reserve, was made public [just days after the Fed](https://www.nytimes.com/2020/03/25/business/blackrock-federal-reserve.html) announced it hired BlackRock's advisory business to run three programs aimed at stabilizing a corporate bond market that has been roiled by the economic fallout of the coronavirus pandemic. Contracts for the other two programs have not been released.
|
||||
|
||||
*Source:* [*https://www.nytimes.com/2020/03/27/business/coronavirus-blackrock-federal-reserve.html*](https://www.nytimes.com/2020/03/27/business/coronavirus-blackrock-federal-reserve.html)
|
||||
|
||||
In a related note, as it turns out Vanguard is one of the largest institutional holders of BlackRock ( thanks for pointing this out [/u/meatcrobe](https://www.reddit.com/u/meatcrobe/) )
|
||||
|
||||
[](https://preview.redd.it/bg7y3pd0cts61.png?width=691&format=png&auto=webp&s=82b34575af5e05d4fe72f84794c2484a610fc100)
|
||||
|
||||
_______________________________________________________________________
|
||||
|
||||
🔎WITH THAT BEING SAID THIS STORY GETS DEEPER YET AGAIN 🔍
|
||||
|
||||
Former SEC Chairman Jay Clayton (brought in during the Trump administration) just took a job at Apollo Global Management (which [Tiger Global Management] holds a 14.8% stake in, making them the largest shareholder of Apollo other than a private holdings company from Apollo themselves (BRH) (<https://fintel.io/so/us/apo>); don't forget that Bill Hwang is an alumni of the Tiger Group and the[mess he's been involved in](https://www.bloomberg.com/news/features/2021-04-08/how-bill-hwang-of-archegos-capital-lost-20-billion-in-two-days) with Archegos and how they've screwed Credit Suisse).
|
||||
|
||||
Just as a reminder the former CEO of Apollo stepped down last month because of his ties with Jeffery Epstein. Here's the story from a couple weeks ago ago: <https://www.theguardian.com/us-news/2021/mar/22/leon-black-quits-apollo-jeffrey-epstein-ties-inquiry> . This isn't conspiracy, it's fact. How is it not a conflict of interest when a former SEC chairman joins a hedge fund that has relations with a criminal?
|
||||
|
||||
Now lastly lets not forget about Mr. Heath Tarbert, who was the former chairmen of the CFTC (Commodity Futures Trading Commission) who just got hired by Ken Griffin as one of his Chief Legal Officers at Citadel not even 2 weeks ago. Heath had this to say about his friend Jay Clayton. 🤔
|
||||
|
||||
> "It has been an honor to serve alongside Jay Clayton. He is one of the smartest and most capable transactional attorneys in the country and an even better colleague and friend. As leaders of the SEC and CFTC, we have worked together closely to harmonize our rules where appropriate and hold wrongdoers accountable.
|
||||
|
||||
How much further does this go?
|
||||
|
||||
Directly from the CFTC site: <https://cftc.gov/PressRoom/PressReleases/8310-20> . Still not a conflict of interest?
|
||||
|
||||
THERE'S NOTHING STOPPING THEM FROM CONTINUALLY WORKING WITH EACH OTHER TO CREATE FAVOURABLE MARKET CONDITIONS FOR THEIR PARTIES.
|
||||
|
||||
_______________________________________________________________________
|
||||
|
||||
It's in my personal opinion that we're starting to see the bridges built, and it's team Citadel versus team BlackRock (I believe the Fed is on that team).
|
||||
|
||||
I think the light at the end of the tunnel is that Gary Gensler will take the seat in the SEC JUST a day prior to the share recall <https://tax.thomsonreuters.com/news/senate-set-to-approve-gary-gensler-nomination-for-sec-chairman-but-likely-for-brief-term/> he was the one that brought what happened in 2008 to light through his extensive knowledge of darkpools. He also has a deep background in cryptocurrencies from what I understand.
|
||||
|
||||
NOW get this; he's only stepping in until June when his terms will be renegotiated. It's quite concerning that he's making an appearance at this stage for such a short period of time.
|
||||
|
||||
TLDR; HODL FOR YOUR DEAR LIFE, THERE IS A FULL ON FINANCIAL WAR GOING ON ABOVE OUR HEADS AND GME IS THE GODDAMN ATOMIC BOMB 💎✋
|
||||
@ -1,368 +0,0 @@
|
||||
CHAOS THEORY - The FINAL Connection
|
||||
===================================
|
||||
|
||||
| Author | Source |
|
||||
| :-------------: |:-------------:|
|
||||
| [u/sharkbaitlol](https://www.reddit.com/user/sharkbaitlol/) | [Reddit](https://www.reddit.com/r/Superstonk/comments/mseyai/chaos_theory_the_final_connection/) |
|
||||
|
||||
---
|
||||
|
||||
[DD 👨🔬](https://www.reddit.com/r/Superstonk/search?q=flair_name%3A%22DD%20%F0%9F%91%A8%E2%80%8D%F0%9F%94%AC%22&restrict_sr=1)
|
||||
|
||||
The final picture is starting to come together. The ties of the former CFTC (who now works for citadel) & SEC chairmen to the industry appear to be pointing to fraudulent activity in efforts to prolong the necessity of SOFR being implemented. SOFR the last time it was attempted to transitioned into (in 2019) almost IMPLODED the market due to many realizing that banks and others could not handle a higher interest rate (based off the [DAILY TRESURY YIELD RATE](https://www.treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=yield)) versus the fabricated one that banks provide.
|
||||
|
||||
With that being said, let's get into it.
|
||||
|
||||
[/u/sharkbaitlol](https://www.reddit.com/u/sharkbaitlol/) here again for another post in the "Chaos Theory" series that delves deeper into the underworking of the financial realm. Just for a reintroduction of myself from other posts, my career has revolved around the data realm having worked on data collection, interpretation and machine learning for the last decade or so. I am also a lifelong gamer and have always been addicted to identifying patterns in real-life and games. I do not claim to be a financial advisor; THIS POST IS NOT FINACIAL ADVICE. Apes should always challenge information and supplement with your own.
|
||||
|
||||
It is in my hopes that these posts result in an increase of people seeking out MORE information that could continually lead us in the right direction; I want our children to grow up in a system where it is not rigged against them. *I would like to thank the hundreds of fellow apes that have messaged me or commented with links and thoughts as we sweep the world for information. Apes together strong.*
|
||||
|
||||
I don't know how else to say this, but it is with great concern that I write this post.
|
||||
|
||||
There are elements here that go deeper into describing what danger the economy finds itself in (as if it wasn't evident already through all the countless DD already provided by this community).
|
||||
|
||||
I will attempt to provide you as many pieces of factual evidence possible and will make it known when my opinion on the matter is being presented. I will be creating links to some of my previous DD and others throughout the post. This is my attempt at connecting the dots in what I believe is one of the final connections of the story.
|
||||
|
||||
NOW GRAB THE COOLER OF BEERS AND GET BACK ON THE ROCKET BECAUSE WE'RE ABOUT TO GO DEEPER INTO SPACE 🚀👨🚀👩🚀🐱🚀🦧🦍
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
Right from the top I will simplify the presentation of my findings for ease of understanding with the table of contents you see below.
|
||||
|
||||
1. CFTC & SEC --- You Can't Make Old Friends
|
||||
|
||||
2. Credit Suisse --- A Leaky Boat
|
||||
|
||||
3. Gary Gensler --- GG GLHF
|
||||
|
||||
4. LIBOR vs SOFR --- Global Financial Evolution
|
||||
|
||||
5. THE GREAT TRAP
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
Section 1 --- CFTC & SEC --- You Can't Make Old Friends
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
As identified in "[Chaos Theory - Conflicts of Interest](https://www.reddit.com/r/Superstonk/comments/mpmnzt/chaos_theory_conflicts_of_interest/)", we were able to find out that the former chairman of the CFTC & SEC appear to be in one hell of a conflict of interest. *If you've read my last post, you can probably skim over this and head into Section 2.*
|
||||
|
||||
Former SEC Chairman Jay Clayton just took a job at Apollo Global Management in a newly created role of lead independent director on its board last month. We start digging here and find out that Tiger Global Management holds a 14.8% stake in; making them the largest shareholder of Apollo other than a private holdings company from Apollo themselves (BRH) (<https://fintel.io/so/us/apo>).
|
||||
|
||||
In relation to this, don't forget that Bill Hwang is an alumni of the Tigers and the [mess he's been involved in](https://www.bloomberg.com/news/features/2021-04-08/how-bill-hwang-of-archegos-capital-lost-20-billion-in-two-days) with Archegos. This as we know has resulted in a massive hit to Credit Suisse's books in the tune of billions (we still don't know the full extent of this).
|
||||
|
||||
We also found out that Apollo and Tiger so happen to be in the same building in New York (the Solow Building) and are doing [shady dealings + tax evasions](https://www.reddit.com/r/Superstonk/comments/mokvhk/chaos_theory_the_everything_connection/) down in the Cayman Islands and Bermuda; namely the [Ugland House](https://en.wikipedia.org/wiki/Ugland_House) (which was labelled by former president Obama as "the biggest tax scam in the world"). Even new SEC chairmain Gary Gensler has some thoughts on the matter: <https://www.youtube.com/watch?v=b_GcpsIyQFc&t=1259s> (*We also know that* [*the U.S. is losing $1 trillion annually to tax cheats*](https://www.reddit.com/r/Superstonk/comments/mqp2aj/the_us_is_losing_1_trillion_annually_to_tax/)*: courtesy of* [/u/vadoge](https://www.reddit.com/u/vadoge/)). REMEMBER CITADEL IS DOING THINGS DOWN HERE TOO DIRECTLY THROUGH VARIOUS ENTITES LIKE PALAFOX.
|
||||
|
||||
NOW we encounter our first conflict on interest here as we delve into Jay Clayton's new employer, Apollo Global Management. As it turns out the former CEO of Apollo stepped down JUST LAST MONTH because of his ties with Jeffery Epstein. Here's the story from a couple weeks ago ago.
|
||||
|
||||
[](https://preview.redd.it/j7jfsva7akt61.png?width=642&format=png&auto=webp&s=da0b6fd00c75f2ccd18a796ae131837cda111895)
|
||||
|
||||
https://www.theguardian.com/us-news/2021/mar/22/leon-black-quits-apollo-jeffrey-epstein-ties-inquiry
|
||||
|
||||
Wait so you're telling me that the former SEC chairman is working for a company that was connected with one of the most infamous criminals of all time? YUP. Well at least the old CEO isn't there anymore right?
|
||||
|
||||
[](https://preview.redd.it/t494wh2nakt61.png?width=726&format=png&auto=webp&s=5ba672225d6129f58c2e7a934286fa471e368705)
|
||||
|
||||
Yikes, almost like this shouldn't be allowed right?
|
||||
|
||||
Now lets take a step back about two weeks ago or so; recall [Mr. Heath Tarbert](https://en.wikipedia.org/wiki/Heath_Tarbert)? Who was the former chairmen of the CFTC (Commodity Futures Trading Commission). Last we heard he just got hired by our boy Ken Griffin as his Chief Legal Officer.
|
||||
|
||||
Turns out that Jay Clayton and Heath Tarbert (brought in during the Trump administration) know each other pretty well. In-fact Heath had this to say about his *friend* Jay Clayton.
|
||||
|
||||
> *"It has been an honor to serve alongside Jay Clayton. He is one of the smartest and most capable transactional attorneys in the country and an* *even better colleague and friend**. As leaders of the SEC and CFTC, we have* *worked together closely* *to harmonize our rules where appropriate and hold wrongdoers accountable."*
|
||||
|
||||
Directly from the CFTC site: <https://cftc.gov/PressRoom/PressReleases/8310-20>. So now we have two former chairman of the organizations meant to control Wall Street who are working for the very thing they were regulating. The same Wall Street they were "harmonizing rules" for --- oh and one of them is working at a Hedge Fund associated with a criminal. Great, totally not a problem.
|
||||
|
||||
MY OPINION: There's nothing from these two from continually working together even now; only a few months have passed since these two were last collaborating. This begins to lead us into an ordeal that starts to paint a picture of what may have happened in the last few years and how some hedge funds might have further screwed themselves with super cheap interest rates introduced during the pandemic on loans with these two formerly at the helm stoking the flames.
|
||||
|
||||
Wonder how Gary Gensler as the new SEC chairman will play into all this now? That will be covered soon.
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
Section 2 --- Credit Suisse --- A Leaky Boat
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
NOW how does Credit Suisse (CS) find themselves in this mess? They just can't seem to keep themselves out of the news. More holes keep getting blown out in their ship that they're desperately trying to patch. We already mentioned the situation with Archegos, but something that hasn't been mentioned as much is their losses associated with Greensill Capital and their filing for insolvency on [March 8th, 2021](https://www.nytimes.com/2021/03/28/business/greensill-capital-collapse.html).
|
||||
|
||||
[](https://preview.redd.it/fdsh2w87lkt61.png?width=947&format=png&auto=webp&s=5113442e44ba4fa74a5762de80fb87b529d62ee5)
|
||||
|
||||
As a result of their bankruptcy, 50,000 people lost their jobs when it became evident that during courthouse hearing in Sydney, Australia - $4.6 billion was owed and no one was extending out a hand to loan anymore to Greensill (THIS IS A BIG PIECE OF THIS STORY, HOLD THIS THOUGHT FOR NOW BECAUSE THIS IS GOING TO GET CRAZY LATER ON).
|
||||
|
||||
As a result different parts of Greensill had to be liquidated as a means to recoup costs. One of the impacted was Greensill's tech partner Taulia. Guess who had plans to acquire them?
|
||||
|
||||
[](https://preview.redd.it/jhz33vbpmkt61.png?width=860&format=png&auto=webp&s=095679127038922ac1619d382f4745d6398fffd0)
|
||||
|
||||
what are they doing here???
|
||||
|
||||
YES APOLLO IS MEDDLING HERE. Now everything was going according to plan for Apollo, seems like they'd be able to get a pretty cheap cost of entry on Taulia who from their site:
|
||||
|
||||
> *"* *Taulia* *is a financial technology business that provides working capital management, electronic invoicing, supply chain finance, and dynamic discounting services. The company helps* *buyers and suppliers accelerate payments**, improve supply chain health, and* *unlock trapped cash. "*
|
||||
|
||||
But SURPRISE!
|
||||
|
||||
[](https://preview.redd.it/bakrkhoimkt61.png?width=962&format=png&auto=webp&s=fc2aefebb0a91ba9491a3f820cef0f5975c4b722)
|
||||
|
||||
https://www.reuters.com/article/us-britain-greensill-apollo-idUSKBN2B4233
|
||||
|
||||
YOINK. JPMorgan decides to play the uno reverse card and that they want Taulia on their side too. Oh and it turns out UniCredit + UBS Group want a piece of the action as well.
|
||||
|
||||
Don't forget who are the two major institutional owners of JPMorgan...
|
||||
|
||||
[](https://preview.redd.it/rbccdb5eqkt61.png?width=1245&format=png&auto=webp&s=074655ed2767fc33c72a139c6c2ff0e1eed43d08)
|
||||
|
||||
if it isn't our boys BlackRock, and Vanguard. Source: https://fintel.io/so/us/jpm
|
||||
|
||||
As a side note did I mention that UBS is the direct competitor of CreditSuisse in Switzerland and that the two are planning a merger? <https://www.fnlondon.com/articles/ubs-chair-axel-weber-says-a-merger-with-credit-suisse-could-take-years-20201207>
|
||||
|
||||
To add to all this, we now we also know that BlackRock is looking to [make a move on Credit Suisse](https://finance.yahoo.com/news/blackrock-blk-mulling-buy-credit-174205125.html) in the midst of this storm. This is in addition to their existing relationship with [Swiss Re](https://www.reddit.com/r/Superstonk/comments/mokvhk/chaos_theory_the_everything_connection/) (scroll down for more information in that thread to Section 5.)
|
||||
|
||||
MY OPINION: From researching around it seems that for one reason or another, consolidation of banks appears to be a focus headed into the near future. BlackRock is looking to somehow join the narrative and become further ingrained in the banking world. This becomes especially interesting considering how BlackRock is positioning themselves as the 'fourth branch of government'. I believe I explain this relationship a bit better in anticipation of what the future is going to bring (Section 4).
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
BONUS ROUND --- UK EDITION
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
Just so our fellow apes in the UK don't feel left out of all the drama, none other than former Prime Minister David Cameron was heavily involved with Greensill, lobbying for the company.
|
||||
|
||||
Just some examples of what he's being called out for:
|
||||
|
||||
"
|
||||
|
||||
- He [texted Chancellor Rishi Sunak](https://www.bbc.co.uk/news/uk-politics-56681939), asking for the company to be included in a Covid-related government loan scheme
|
||||
|
||||
- He also contacted Treasury ministers Jesse Norman and John Glen about the company
|
||||
|
||||
- He met Health Secretary Matt Hancock - along with Lex Greensill - for a "private drink" in 2019 [to discuss a new payment scheme for NHS staff](https://www.bbc.co.uk/news/uk-56706619)
|
||||
|
||||
"
|
||||
|
||||
[](https://preview.redd.it/pfx79zobukt61.png?width=634&format=png&auto=webp&s=ec03360f53875e1112c7ae5bf03c7b4c7b34cf39)
|
||||
|
||||
IT NEVER ENDS DOES IT.
|
||||
|
||||
Now back to our friend GARY "GG" GENSLER and how this all potentially plays together.
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
Section 3 --- Gary Gensler --- GG GLHF
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
Now I'm not going to go into too much depth here about Gary himself; apes have done a TON of [research already](https://www.reddit.com/search/?q=gary%20gensler) in this regard. If you're not familiar with him, please have a read of other apes work and then come back.
|
||||
|
||||
[](https://preview.redd.it/ygmigp4eskt61.png?width=1262&format=png&auto=webp&s=b65c53abdfe30e9a5f6f761d9cc09f866154eefe)
|
||||
|
||||
For a short synopsis from ape [/u/AAces_Wild](https://www.reddit.com/u/AAces_Wild/) (I totally agree with their statement [here](https://www.reddit.com/r/Superstonk/comments/mq7nto/who_is_the_new_sec_chair_gary_gensler_my/)):
|
||||
|
||||
> *"Fellow apes, please warmly welcome Professor Gensler to the SEC. If there's anyone I would trust to wield the power as SEC chairman while closing loopholes, protecting investors, and policing the largest financial center in the world, it's Gary Gensler.*
|
||||
>
|
||||
> *Key Takeaways**: Gary has extensive expertise in the prosecution of big banks and has shown support for market transparency. Without hesitation, I believe he's the man for the job. Gary is good.*
|
||||
>
|
||||
> *As Gary likes to say: "Markets work best when there's a cop on the beat.""*
|
||||
|
||||
I would add to this that he also has a fairly deep background in crypt0-currencies which explain the recent movement of C0inBase and the currencies associated with it. Gary is very likely to implement new legislation that favors crypt0. He's also fairly knowledgeable about darkpools and their inner workings.
|
||||
|
||||
One of the major concerns that I have however is that Gary was involved with bringing the big banks to light back in 2008. To have him appear now and for such a short period of time (his contract is until June when it'll be renegotiated) raises a bit of a flag.
|
||||
|
||||
There is another point here that is of concern, but before we get into it...
|
||||
|
||||
DISCLAIMER DISCLAIMER DISCLAIMER DISCLAIMER DISCLAIMER
|
||||
|
||||
POLITICS ARE ALL SCREWED --- THIS ISN'T AN ARGUMENT OF LEFT VERSUS RIGHT. BOTH SIDES HAVE INVOLVEMENT WITH WALL STREET AND ACCEPTS BRIBES. REMEMBER APES ARE TOGETHER BECAUSE WE ARE FIGHTING A CLASS WAR REGARDLESS OF RELIGION, GEOGRAPHY, BELIEFS. WE WANT A BETTER LIFE FOR EACH OTHER.
|
||||
|
||||
Fellow ape [/u/justoneshyboy](https://www.reddit.com/u/justoneshyboy/), dug into all those who voted 'Nay' against the election of Gary Gensler as the new chairmain.
|
||||
|
||||
Here's what they [found](https://www.reddit.com/r/Superstonk/comments/mqps6r/are_these_donations_from_kenneth_griffin_to/):
|
||||
|
||||
[](https://preview.redd.it/jlg3u9td2lt61.png?width=699&format=png&auto=webp&s=1fa70a08ae2f1f66801057e866a5f3cb191098c3)
|
||||
|
||||
As it turns out, Kenny boy has donated to majority of the 'nay' sayers. Of course, this was bound to happen considering Gary was selected on behalf of the democrats. Where does this lead us to?
|
||||
|
||||
Well one of the major topics of focus come from this clip of GG himself; give this a quick watch for about 2 minutes:
|
||||
|
||||
[](https://preview.redd.it/4i2q1efa4lt61.png?width=977&format=png&auto=webp&s=d807532d35de00f69ef8b4a2713947fbd50bab54)
|
||||
|
||||
https://youtu.be/b_GcpsIyQFc?t=1425 from 2014
|
||||
|
||||
<https://youtu.be/b_GcpsIyQFc?t=1425>; a quote directly from Gary in the video:
|
||||
|
||||
> "Today the CFTC announced it's fifth settlement with a bank for pervasive rigging interest rates [...] these interest rates called the London Inter-Bank Offer Rate (LIBOR) is a critical reference rate for the U.S. economy. Student loans are sometimes tied to them, mortgages are tied to them, small business loans, and yes 70%; seven-zero of the international derivatives market, futures, swaps are tied to LIBOR"
|
||||
|
||||
REMEMBER THESE TWO THINGS MENTIONED IN ASSOCIATION WITH EACH OTHER:
|
||||
|
||||
- "PERVASIVE RIGGING INTEREST RATES"
|
||||
|
||||
- "London Inter-Bank Offer Rate (LIBOR)"
|
||||
|
||||
MY OPINION: Look at what's happening with the bond market in the last few days in [China](https://www.reddit.com/r/Superstonk/comments/mqcfxr/huarong_asset_mgmt_is_failing_i_think_this_is_the/?utm_medium=android_app&utm_source=share) and the [U.S.](https://www.reddit.com/r/Superstonk/comments/mrm243/jpmorgan_to_sell_13_billion_of_bonds_in_largest/) (more on this in [/u/Captain_Omar](https://www.reddit.com/u/Captain_Omar/) 's [post](https://www.reddit.com/r/Superstonk/comments/mrm243/jpmorgan_to_sell_13_billion_of_bonds_in_largest/)) --- With so much of the world's loan market tied up in this "LIBOR", why is it a big deal now? Well we know that the CFTC is the one establishing settlements for any rigging of game that may be taking place within interest rates.
|
||||
|
||||
Oh right, and the former chairman of the CFTC now works at Citadel was in charge of policing this for the last 4 years. In addition, what are the chances he's intertwined with the congress members who've received donations from Citadel do you think? Seems like this LIBOR thing might be a problem for certain parties?
|
||||
|
||||
Okay so something's up, what is LIBOR anyways? This leads us into Section 4.
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
Section 4 --- LIBOR vs SOFR --- Global Financial Evolution
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
Take a breather here if you haven't already. This is a lot of information in digest and LIBOR (London Inter-Bank Offer Rate) is not a light topic. Thank you [/u/RegularJDOE1234](https://www.reddit.com/u/RegularJDOE1234/) & [/u/HCRDR](https://www.reddit.com/u/HCRDR/) on further research into this.
|
||||
|
||||
There is about $350 - 400 trillion (yes that is TRILLIONS with a T, about 4x the size of the global economy) tied up in it.
|
||||
|
||||
A short explanation of what LIBOR is:
|
||||
|
||||
> " Libor is an average interest rate calculated through submissions of interest rates by major banks across the world. "
|
||||
|
||||
IN 🦍 SPEAK, GRAB YOUR 🖍's IT'S TIME GO TO🏫🎒. Interest is something all of us have dealt with in one fashion or another. Credit card payments, mortgages, student loans. The concept is all the same. You borrow money from the bank, and they tell you that you'll be paying a fee monthly (known as the interest rate) on top of the money you've loaned out from them. On top of this you get told what your interest will be ahead of time (forward looking interest rate) so you know what to expect your bill to be.
|
||||
|
||||
Now the reason LIBOR is a problem is that it can easily be gamed and has been for quite some time. It also doesn't adjust for another crazy shit that might happen until the next payment period. If the economy crashes in that time frame and you're still paying a super low interest rate because of a contractual agreement, the banks lose BIG TIME. Directly from Wikipedia on the "[LIBOR Scandal](https://en.wikipedia.org/wiki/Libor_scandal)":
|
||||
|
||||
> *" The scandal arose when it was discovered that banks were falsely inflating or deflating their rates so as to profit from trades, or to give the impression that they were more creditworthy than they were.*[*[3]*](https://en.wikipedia.org/wiki/Libor_scandal#cite_note-3) *Libor underpins approximately $350 trillion in* [*derivatives*](https://en.wikipedia.org/wiki/Derivative_(finance))
|
||||
>
|
||||
> *The banks are supposed to submit the actual* [*interest rates*](https://en.wikipedia.org/wiki/Interest_rate) *they are paying, or would expect to pay, for borrowing from other banks. The Libor is supposed to be the total assessment of the health of the financial system because if the banks being polled feel confident about the state of things, they report a low number and if the member banks feel a low degree of confidence in the financial system, they report a higher interest rate number."*
|
||||
|
||||
REMEMBER THIS, the interest rate drops to low percentages when the market is confident or is looking to inject growth (like how it is now); the inverse happens when the market is fearful (higher rate = higher cost of borrowing money usually). This is like letting your buddy Good Guy Greg borrow 20 bucks versus your half-cousin twice removed, Scumbag Steve.
|
||||
|
||||
The banks here would deliberately rig the interest rates between each other in order to get massive loans to profit from (they basically are making themselves appear like Good Guy Greg to everyone around them, when in reality they're stealing your wallet out your back pocket). THE LIBOR SYSTEM IS WHAT ALLOWS FOR THIS TO HAPPEN. As it turns out, a lot of people are fed up with this and want see it changed for good reason as seen below...
|
||||
|
||||
WORTH NOTING:
|
||||
|
||||
LIBOR was a massive playing piece involved in the 2008 financial crises, this quote is directly from the congressional hearing on the matter:
|
||||
|
||||
> *"* *The LIBOR's self-reporting structure has created opportunities for individuals or institutions to manipulate or falsify data**. In the wake of the 2008 financial crisis, upon discovering a widespread culture of LIBOR manipulation built around industry relationships, U.S. and U.K. regulators settled with various banking institutions, including some of the world's largest banks such as Barclays,* *JP Morgan Chase**, Citigroup, and* *UBS* *over allegations that these institutions manipulated the* *LIBOR* *by* *pressuring their colleagues to report artificially low or artificially high interest rates in order to manufacture trading opportunities. "*
|
||||
|
||||
Talk about the timing of Gary Gensler coming back into the picture right? One of the few people in the SEC who directly dealt with this type of scenario before.
|
||||
|
||||
FEAR NOT, HERE COMES THE EVOLUTION OF THIS SYSTEM
|
||||
|
||||
Introducing SOFR (Secured Overnight Financing Rate)!!!!! This is a MASSIVE 200 trillion dollar transition that will take place over the next few years.
|
||||
|
||||
OH and it almost imploded the entire fucking market the first time it was attempted to be implemented back in 2019 <https://www.federalreserve.gov/econres/notes/feds-notes/what-happened-in-money-markets-in-september-2019-20200227.htm>
|
||||
|
||||
[](https://preview.redd.it/1iys92uydlt61.png?width=847&format=png&auto=webp&s=b665c6a6ad3e31a2a17d00213b39aa8c9b41b61b)
|
||||
|
||||
And it looks like they just had a hearing on this evolution just YESTERDAY.
|
||||
|
||||
[](https://preview.redd.it/o95qmiuehlt61.png?width=1321&format=png&auto=webp&s=9ec410ff456ef126517f16496a1d5efef3a8289b)
|
||||
|
||||
https://www.youtube.com/watch?v=igmJ-SFvyRU two hours worth of content, watch at your own risk
|
||||
|
||||
I watched them talking about it live, I would be lying if I told you it was a thrilling piece of entertainment. Watch it if you're really curious and want to get a deeper understanding of what's at stake.
|
||||
|
||||
What this means is SOFR will change how interest rates are calculated.
|
||||
|
||||
Yet again in a very simple explanation: if Libor is "forward-looking" meaning you get an interest rate ahead of time (you know exactly what your payment will be) - SOFR is the inverse, meaning it's "backward-looking".
|
||||
|
||||
WHAT THIS MEANS IS THAT BANKS AND OTHER PARTICIPANTS WILL NOT KNOW WHAT THEIR MONTHLY PAYMENT FOR THEIR LOAN WILL BE(for example) UNTIL THE DAY OF PAYMENT (From reading I believe it's about 5 days prior, I could be wrong). THIS IMPLIES THAT THE RATE THEY WILL HAVE TO PAY FLUCTUATES ON A DAILY BASIS. THIS DAILY FLUCTUATION WILL BE BASED OFF THE [DAILY TRESURY YIELD RATE](https://www.treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=yield). This transition is expected to be completed by 2023, however no new contracts can be written under Libor as of... [MARCH 31ST, 2021.](https://www.reddit.com/r/GME/comments/mgb1m6/citadel_2019_but_still_leaves_the_bread_crumbs/?utm_source=share&utm_medium=ios_app&utm_name=iossmf)
|
||||
|
||||
To illustrate this point, the image below shows how much more "variable" (dynamic) the rate (in blue) will be, versus the fixed variant (in red) of it we see today.
|
||||
|
||||
[](https://preview.redd.it/6m5o0b3oflt61.png?width=809&format=png&auto=webp&s=6c270866374c63e568ae0f310b56dd660522e6f9)
|
||||
|
||||
This solves two things:
|
||||
|
||||
1. If the market fluctuates in the time that a loan was given, the banks will not be put into a vulnerable position nor profit from it. Think of this as a "we ride together, we die together" type of scenario. They'll be impacted as much as any of us should the market take a down turn or rise.
|
||||
|
||||
2. The rates can no longer be gamed as easily because they're no longer based off self-report data, but rather the rate of the daily treasury yield on the market.
|
||||
|
||||
Now here's the thing, we should've already started transitioning to this new system over quite some time. The fed wanted all the new loans being given out in the last year to be already implemented through SOFR, but instead the banks chose to STILL tie them to Libor. But wait a minute some of these are 3-year, 5-year loans; but Libor will only be around for another 2 years. Sounds like it can be another problem in the making and the banks don't want to face reality yet. Knowing this it's not surprising they posted such great earnings right? Easy to make the picture look pretty when it's full of shit.
|
||||
|
||||
Watch about 45 seconds of this clip for concerns coming straight from Grant Thornton UK on the matter.
|
||||
|
||||
<https://www.youtube.com/watch?v=HAf6Bk5szIk&t=1245s>
|
||||
|
||||
HERE'S THE REASON MANY ARE TERRIFIED AT WHAT THIS WILL MEAN FOR THE MARKET:
|
||||
|
||||
> *"I think it's fair to say that people like myself are getting a bit of an odd feeling in the gut about what is going on about some of these books - so to drive transparency there, the cyclical quarterly testing on impairments and cogence the data will be out in June, and I think the views we have are that some of the borrowers will fail." --- Grant Thornton UK Advisor [Source:* [*https://www.youtube.com/watch?v=HAf6Bk5szIk&t=1553s*](https://www.youtube.com/watch?v=HAf6Bk5szIk&t=1553s)*]*
|
||||
|
||||
LONG STORY SHORT; THEY'RE WORRIED THAT WHEN BANKS AND BUSINESSES ARE FORCED TO PAY THE ACTUAL RATES OF THE MARKET (and not their made up ones) BECAUSE OF THE LIBOR -> SOFR TRANSITION, THAT THEY WILL NOT HAVE THE CASH ON HAND TO MEET THE SOFR REQUIREMENTS AND RUN INTO SERIOUS FUCKING TROUBLE. THIS IS SIMILAR TO WHAT HAPPENED ALREADY IN 2019.
|
||||
|
||||
NOT ONLY THIS, THE PEOPLE WHO BORROWED MONEY WILL BE STRESS TESTED ON A REGULAR BASIS (think monthly/quarterly) TO SEE IF THEY ACTUALLY CAN SUPPORT A HIGHER INTEREST RATE SHOULD THE MARKET GO TO SHIT. Once again no new contracts can be written under Libor as of... [MARCH 31ST, 2021.](https://www.reddit.com/r/GME/comments/mgb1m6/citadel_2019_but_still_leaves_the_bread_crumbs/?utm_source=share&utm_medium=ios_app&utm_name=iossmf)
|
||||
|
||||
YOU WILL NOW SEE THE MARKET STARTING TO DELEVERAGE THEIR LOANS IN ORDER TO HAVE MORE CASH ON HANDS TO MEET THESE SOFR REQUIREMENTS AS QUICKLY AS POSSIBLE. THIS EXPLAINS WHY [JPMORGAN AND OTHERS ARE SELLING BONDS AFTER 'STELLAR' EARNINGS](https://www.bloomberg.com/news/articles/2021-04-15/jpmorgan-to-sell-13-billion-of-bonds-in-largest-bank-sale-ever) (once again still in a Libor system). This would also explain why BlackRock is the heaviest in cash they've ever been. The reintroduction of Gary Gensler during this timeframe, is a concerning one as he dealt with the 2008 crash once before which involved LIBOR.
|
||||
|
||||
EDIT: Bank of America just posted a 15 billion dollar sale of bonds couple of hours ago; the dominos are starting to fall <https://www.bloomberg.com/news/articles/2021-04-16/bofa-to-set-record-for-largest-bank-bond-sale-at-15-billion>
|
||||
|
||||
Now the question becomes, who's already caught in the web?
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
FINAL SECTION --- THE GREAT TRAP
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
My Opinion: I believe that many of the "bad" hedge funds, took on massive risks with expectations that the 7rump administration would get re-elected and prolong the need for transitioning to SOFR and others (involving the former SEC + CFTC chairmen). This would give them ample amount of time to make profits on the companies (and banks?) they bankrupt.
|
||||
|
||||
It appears to me that they didn't properly hedge their risk for any other outcome.
|
||||
|
||||
Now lets have a look at who might have abused the low interest rates fabricated by banks, and provided collateral with rehypothecated assets?
|
||||
|
||||
Well a good place to start looking is to see who's grown the most in the last year.
|
||||
|
||||
we have a pretty good starting point as we've seen in [/u/yosaso](https://www.reddit.com/u/yosaso/)'s post about the [war to control the DTCC](https://www.reddit.com/r/Superstonk/comments/mouj57/there_is_a_war_to_control_the_dtcc_and_gme_is_the/guoqi9g/?context=3): (I'm just renaming these teams for the sake of vulgarity, and adding some names)
|
||||
|
||||
> TEAM Good Guys
|
||||
>
|
||||
> JP Morgan, BOA, Morgan Stanley, State Street, Vanguard, BlackRock, Goldman Sachs
|
||||
>
|
||||
> TEAM Bad Guys
|
||||
>
|
||||
> Citadel, Virtu, Citi, Susquehanna, Melvin, Apollo
|
||||
>
|
||||
> TEAM UNKNOWN
|
||||
>
|
||||
> BNY Mellon - 2
|
||||
|
||||
Here are the good guys, seems like pretty stable growth since last year right roughly returning to where they were before
|
||||
|
||||
[](https://preview.redd.it/rjpdxjm84mt61.png?width=1407&format=png&auto=webp&s=99d1541144ccf2a82a72f3c6224c2960f564aee8)
|
||||
|
||||
NOW HERE ARE THE BAD GUYS. WHOA THEY JUST RIPPED OVER THE LAST YEAR.
|
||||
|
||||
[](https://preview.redd.it/oylkww7v4mt61.png?width=1401&format=png&auto=webp&s=999644f9899dac07da6f3bca164772eed745a0d0)
|
||||
|
||||
WOW WHAT GROWTH!
|
||||
|
||||
Growth over the last 4 quarters:
|
||||
|
||||
Good Guys:
|
||||
|
||||
| Company | Growth Since Q1 2020 |
|
||||
| --- | --- |
|
||||
| State Street | 42.8% |
|
||||
| Vanguard | 46.9% |
|
||||
| BlackRock | 53.3% |
|
||||
|
||||
Bad Guys:
|
||||
|
||||
| Company | Growth Since Q1 2020 |
|
||||
| --- | --- |
|
||||
| Apollo | 78.4% |
|
||||
| Melvin | 80.5% |
|
||||
| Susquehanna | 94.8% |
|
||||
|
||||
Now we plug in [/u/atobitt](https://www.reddit.com/u/atobitt/) 's ["Everything Short"](https://www.reddit.com/r/GME/comments/mgucv2/the_everything_short/) thesis here. I believe Hedge Funds have been taking advantage of the low interest rates that are being gamed. They decide they're going to take this to a whole new extreme through rehypothecation and the repo market.
|
||||
|
||||
MY OPINION: THIS IS MONEY THEY'RE NEVER GOING TO BE ABLE TO PAY BACK. CITADEL AND FRIENDS ASPIRED TO REACH THE GRAND SIZE THAT THE LIKES OF BLACKROCK AND VANGUARD ARE THROUGH ANY MEANS NECESSARY. I BELIEVE THEY'VE TAKEN ON MASSIVE RISK AND ARE NOW BEING CLOSED IN ON BY THE DTCC + THE SEC WITH THE SOFR ADJUSTMENT.
|
||||
|
||||
THEY'VE PUT MULTIPLE BANKS AT HUGE RISK A BLOWING UP ON FAKE BONDS --- IT'S ONLY A MATTER OF TIME BEFORE SOFR DROPS THE BOMB ON THEM. I believe this is the reason why BlackRock and Co have been pushing for "max pain" each week; this is so that it makes it impossible to keep up with SOFR interest rate requirements.
|
||||
|
||||
------------------------------------------------------------------------------------------------------------------
|
||||
|
||||
As time progresses I believe we will see more evidence of multiple parties attempting to deleverage their positions before 2023. Coincidentally GameStop has just paid off all their debt that was due that exact year.
|
||||
|
||||
So this becomes a two pronged problem;
|
||||
|
||||
1. Assets are being rehypothecated which are being used as collateral
|
||||
|
||||
2. Banks are providing absurd interest rates off the old LIBOR system instead of SOFR; this has resulted in the taking on a position that will be extremely difficult to get out of.
|
||||
|
||||
As we can see they're fighting against these changes through politics, but it appears they've brought in Gary Gensler to kick some ass.
|
||||
|
||||
TLDR: DIAMOND HANDS APES. 💎✋
|
||||
|
||||
*NOT FINANCIAL ADVICE*
|
||||
Reference in New Issue
Block a user