Welcome to “From the Trader’s Desk” and my recap of “Dead Cat Bounce”. (I’m just going to say this upfront: I hate that term, but only because I’m a cat momma!)
We open up at the Spartan-Ives sponsored “Thought Leaders” conference, which costs $3,000 to attend. These types of conferences are common, and can be market movers. Certain managers will mention a stock they like (or don’t) and it will move the stock price as they are speaking.
Welcome to “From the Trader’s Desk” for the 2nd Season of Billions! The original concept of these posts was to recap of 2-3 episodes from my point of view as a trader, and to help with any confusion with “fin speak”. However, “Risk Management” was so meaty; I had to dive right in. So now, without further ado….
”Trading is gambling, legalized gambling.”
source: Showtime
Those are words I spoke to Damianista on our first meeting. I think she asked me how I got into the financial industry, and I told her I loved to gamble, and found a way to do it legally.
How fitting then is it that we open Season 2 with Axe sitting at a racetrack! Now, I’ll admit, I didn’t know it was Yonkers Raceway. I thought it was Belmont Park, a place my grandfather would take me to as a kid. Axe tells Bach “this place made me”, and I totally understand. Continue reading “From the Trader’s Desk: “Risk Management”, Episode 1 Season 2 of Billions”
As we get ready to enjoy the second season of Billions, we thought we would introduce our upcoming new series “From the Trader’s Desk” with my review of Season 1.
“From the Trader’s Desk” will be my take on what’s going on in the show (and a little fact checking) from the point of view of a Wall Street trader. I hope you enjoy reading it as much I enjoy writing it! Now, without further ado…
“Those who can, trade; those who can’t, prosecute.”
source: Showtime
That phrase came to mind once I knew the synopsis of Billions. Hedge Fund Titan (Bobby Axelrod) vs. the US Attorney (Chuck Rhodes). It’s a scenario that’s been playing out on Wall Street for some time. The players change, but the song remains the same.
And you may ask yourself, well
How did I get here? – Talking Heads
Damianista often visits New York, and when she does, we try and get together to chat and catch up. On one of her Spring visits, on a subway ride home, she asked me how I became a fan of Damian Lewis. I told her the story and her reaction was: “You should post that on the blog!” When I finally wrote up my story, Damianista came up with the brilliant idea of getting stories of how others became fans of Damian Lewis and posting them on the blog. How interesting it would be to read everyone’s stories and to see just how we all became a happy, FUN community! Damianista sent the word out, and the response was amazing!
Bobby waves Mafee into his office, but Mafee stays where he is. Bobby is perplexed until Wags explains Mafee wishes to talk about BioLance so has sent Wags in to get permission because Bobby told him he would be fired if he brought that up. Mafee thinks that they are about to lose £400+ million and is basically saying Bobby has this one wrong. Since he is executing the trade, Mafee fears if he does not speak up now, he’ll be fired after they lose the $400+ Million. Bobby sees how this could be a sticky one.
Bobby loves Mafee though so permission is granted.
Mafee has been losing sleep over this BioLance trade and he sleeps like a bear. Axe does that thing he does and asks Mafee what type of bear he usually sleeps like.
There is a special announcement call about BioLance in 9 minutes and Mafee is uneasy. Bobby, however, is giving Mafee no leeway when it comes to the actual information as Bobby understands the risks and has done the homework. So, despite the fact that the other analysts agree with Mafee and him being so loveable, Mafee is the one standing in front of Bobby and Mafee is fired.
He tried.
He is still there 9 minutes later when the announcement is made that BioLance has not gotten FDA approval. What does this mean? It means that Mafee would be perfectly entitled to jump up on the desk and scream “I told you so”. However, Mafee looks genuinely disappointed by the announcement. If he is fired, why does he care that Axe just lost $430 Million dollars for being an over confident and dismissive ass? Mafee might just be a team player.
The news has hit Bobby like a ton of bricks, but it is not really the fact that he just lost $430 million that is bothering him or that he really owes Mafee an apology. It is the realisation he has lost his mojo. He was wrong. Him! Bobby Axelrod.
