Interesting graphics of the derivative

[grassfarmer]

Thought these graphics were a great visual
demonstration of the banks exposure to derivative
trading. Wow!
http://demonocracy.info/infographics/usa/derivative
s/bank_exposure.html

[Wheatking]

I must not be understanding derivatives right if this graphic is correct.

Now walk me through this here. Derivatives include futers, options, swaps, cds, etc..., all must
have some underlying form of security, in either cash(credit) or the actual product.

Now if I buy Futures contract and hedge that with a put or a call, according to this that would be
counted twice, where my only real risk would be the difference between the futures price and the
strike price, which might be 1/100th of the total risk if the option and futures are calculated
separately.

What really matters here is the outstanding credit risk of the banks etc...(which may be still way
too high) not the actual value of the derivative. I am not saying that banks are not overexposed
to the derivatives market, just that these numbers are meaningless

[Burbert]

Exactly, right on, all based in total
bulls@##t. Go fer it er go to the casino,
risk is similar, maybe better at the
casino!!!!!!