peHUB Second Opinion 5.21.10

Carried interest: In its defense.

AIG: Of course it would have big European exposure. It’s the Grand Unified Theory of Financial Crises.

Financial reform: If you don’t like it and find it too draconian, Paul Krugman suggests you write a letter to your local Blankfein.
Related: The New Yorker thinks that the reform bill is peachy.
Related: Month-by-month and state-by-state unemployment graphic. Depressing.

Balance sheets: Bain & Co. has some thoughts on how to right-size balance sheets in portfolio companies; some measures you might use to control costs would actually inflate a balance sheet.

Angel investors want YOU!: Angel boot camps are coming to Cambridge, Mass.

Gold: Central banks are increasing their holdings of gold. Maybe because they’re printing money at such a rate that paying for groceries will require a wheelbarrow full of dollars and a gun at your hip.

The Fed: Irony alert! The Fed saved the banks, but now it is robbing them of commissions by doing its trading outside of broker-dealers. Concerns about banks front-running the government, maybe?
Related: The dollar rules, the euro droolz.

The Obama budget:
It will reduce the deficit by $1.3 trilllion over the next decade, says one think tank. But will it be enough?

At Morgan Stanley, you cannot enter one without permission. I strongly feel that anyone would know that already unless they were raised by wolves, but this financial crisis has made everyone very Mad Max all of a sudden.

When petroleum traders attack: A London trader punched an IT executive who later died. The trader won’t do any time. Perspective: It’s not like he signed off on false financial statements or anything.