Things we're reading today include …
Today's must read:
Goldman Fueled AIG Gambles – Wall Street Journal
Goldman originated or bought protection from AIG on about $33 billion of the $80 billion of U.S. mortgage assets that AIG insured during the housing boom. That is roughly twice as much as Société Générale and Merrill Lynch, the banks with the biggest exposure to AIG after Goldman, according an analysis of ratings-firm reports and an internal AIG document that details several financial firms' roles in the transactions.
Bonus row rumbles on
Barclays chief Bob Diamond admits banks failed to manage bonuses – The Telegraph
Barclays to defer 60pc of bonuses – The Telegraph
Financial Services Authority vets banks' pay policies – Guardian
Britain and France want bank tax to fund climate change plan – The Independent
Darling's tax on bankers' bonuses is a rallying cry to the world – Guardian
Treasury bonanza looms as banks vow to pay big bonuses anyway – Guardian
Hedge fund rewards set to lure City talent – Financial Times
USA to follow suit?
Can Obama bully the bankers? – CNN
US House Passes Historic Wall St. Reform Act – News Junkie Post
US pay tsar Ken Feinberg limits company salaries to $500,000 – The Telegraph
America is angry, but Wall Street's bankers are still living the high life - Guardian
U.S. froze $2 billion held for Iran in Citibank: report – Reuters
And more regulation and taxes
FSA puts forward 'reverse stress test' plan – Financial Times
Top bankers destroy value, study claims – Financial Times
Cleaners 'beat bankers in worth', says research – BBC
Sovereign debt seen as biggest threat – Reuters?
Quote of the Day:
"Just how byzantine are the new settings? It seems even Zuckerberg didn't realize that hundreds of his own personal photos featuring family and friends, beer and bare chests were exposed by the changes."
Facebook CEO Shows How Not to Use Site's Privacy Settings (NBC) – original privacy announcement