Ten years ago, on 15 September 2008, Lehman Brothers filed for bankruptcy in the US. At the time, it was the fourth largest investment bank in the US, having successfully grown exponentially since its foundation in 1850, so you’d think its directors would have acquired some expertise in what it was they were doing. Unfortunately, they found themselves too reliant on financial instruments that essentially consisted of parcels of mortgages that wouldn’t be paid off. When too many debtors defaulted, they had something of a cashflow problem. The benefit of hindsight may be considerable – but, crumbs, what a […]
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