to $350,000 for the clients' margin calls and $400,000 for Barings itself. The margin payments, in return, were unusually large. e) A bank should not put in excess of 25% of its capital in risk by purchasing derivatives-The purpose is to not be risky and to avoid excessive losses. 5. Who do you blame for the collapse of the Barings bank (SIMEX, Mr. Leeson, his supervisors, the bank of England)? Why? I would solely blame Mr. Leeson for the collapse of the Barings Bank. He was the one who forgot…
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