Speculative Position Limits

Model Risk Management - Deloitte

value of the derivative position was $1.25tn. When the Russian crisis kicked off in 1998, European and US markets fell drastically and LTCM was badly hit through market losses and fire sales. CDO / MBS – 2007 subprime mortgage crisis. Impacts: one of the main cause and source of losses in the 2007 financial crisis. As-of Sept. 2008, bank write-

  Model, Management, Risks, Position, Model risk management