Did Psychopaths Take Over Wall Street Asylum? - News and Current Events | futures.io
futures.io futures trading

Go Back   futures.io

> Futures Trading, News, Charts and Platforms > Traders Hideout > News and Current Events

Did Psychopaths Take Over Wall Street Asylum?
Started:January 2nd, 2012 (08:16 PM) by kbit Views / Replies:316 / 3
Last Reply:December 25th, 2013 (04:31 AM) Attachments:0

Welcome to futures.io.

Welcome, Guest!

This forum was established to help traders (especially futures traders) by openly sharing indicators, strategies, methods, trading journals and discussing the psychology of trading.

We are fundamentally different than most other trading forums:
  • We work extremely hard to keep things positive on our forums.
  • We do not tolerate rude behavior, trolling, or vendor advertising in posts.
  • We firmly believe in openness and encourage sharing. The holy grail is within you, it is not something tangible you can download.
  • We expect our members to participate and become a part of the community. Help yourself by helping others.

You'll need to register in order to view the content of the threads and start contributing to our community. It's free and simple, and we will never resell your private information.

-- Big Mike

Thread Tools Search this Thread

Did Psychopaths Take Over Wall Street Asylum?

Old January 2nd, 2012, 08:16 PM   #1 (permalink)
Elite Member
Aurora, Il USA
Futures Experience: Advanced
Platform: TradeStation
Favorite Futures: futures
kbit's Avatar
Posts: 5,839 since Nov 2010
Thanks: 3,275 given, 3,321 received

Did Psychopaths Take Over Wall Street Asylum?

It took a relatively obscure former British academic to propagate a theory of the financial crisis that would confirm what many people suspected all along: The “corporate psychopaths” at the helm of our financial institutions are to blame.

Clive R. Boddy, most recently a professor at the Nottingham Business School at Nottingham Trent University, says psychopaths are the 1 percent of “people who, perhaps due to physical factors to do with abnormal brain connectivity and chemistry” lack a “conscience, have few emotions and display an inability to have any feelings, sympathy or empathy for other people.”

As a result, Boddy argues in a recent issue of the Journal of Business Ethics, such people are “extraordinarily cold, much more calculating and ruthless towards others than most people are and therefore a menace to the companies they work for and to society.”

How do people with such obvious personality flaws make it to the top of seemingly successful corporations? Boddy says psychopaths take advantage of the “relative chaotic nature of the modern corporation,” including “rapid change, constant renewal” and high turnover of “key personnel.” Such circumstances allow them to ascend through a combination of “charm” and “charisma,” which makes “their behaviour invisible” and “makes them appear normal and even to be ideal leaders.”
Stable Environment

Until the last third of the 20th century, he writes, companies were mostly stable and slow to change. Lifetime employment was a reasonable expectation and people rose through the ranks.

This stable environment meant corporate psychopaths “would be noticeable and identifiable as undesirable managers because of their selfish egotistical personalities and other ethical defects.”

For Wall Street -- a rapidly changing and highly dynamic corporate environment if there ever was one, especially when the firms transformed themselves from private partnerships into public companies with quarterly reporting requirements -- the trouble started when these charmers made their way to corner offices of important financial institutions.

Then, according to Boddy’s “Corporate Psychopaths Theory of the Global Financial Crisis,” these men were “able to influence the moral climate of the whole organization” to wield “considerable power.”
They “largely caused the crisis” because their “single- minded pursuit of their own self-enrichment and self- aggrandizement to the exclusion of all other considerations has led to an abandonment of the old-fashioned concept of noblesse oblige, equality, fairness, or of any real notion of corporate social responsibility.”

Boddy doesn’t name names, but the type of personality he describes is recognizable to all from the financial crisis.
He says the unnamed “they” seem “to be unaffected” by the corporate collapses they cause. These psychopaths “present themselves as glibly unbothered by the chaos around them, unconcerned about those who have lost their jobs, savings and investments, and as lacking any regrets about what they have done.

They cheerfully lie about their involvement in events, are very convincing in blaming others for what has happened and have no doubts about their own worth and value. They are happy to walk away from the economic disaster that they have managed to bring about, with huge payoffs and with new roles advising governments how to prevent such economic disasters.”
‘Reasoning Aptitudes’

In closing his short essay, Boddy recognizes that the theory is relatively untested and would benefit from “further development and research” into the “personalities and moral reasoning aptitudes of the leaders” of the companies that got into serious trouble in the financial crisis.

In an e-mail correspondence with me, he said his article has been warmly received and has been downloaded 9,440 times in the past 90 days. “Apparently this is a lot for an academic article and it is more than the next four most-downloaded papers combined,” he wrote.

He also has a prescription for how to prevent psychopaths from getting into positions of power on Wall Street and elsewhere.

“Anyone who makes decisions that affect significant numbers of other people, concerning issues of corporate social responsibility or toxic waste, for example, or concerning mass financial markets or mass employment, should be screened to make sure that they are, at the very least, not psychopaths and at most are actually people who care about others,” he wrote.
Makes sense to me.

Did Psychopaths Take Over Wall Street Asylum?: William Cohan - Bloomberg

Reply With Quote

Old January 2nd, 2012, 09:07 PM   #2 (permalink)
Elite Member
reston, va
Futures Experience: Intermediate
Platform: ninja
Favorite Futures: ES
cory's Avatar
Posts: 5,072 since Jun 2009
Thanks: 606 given, 6,065 received

no surprise, they are known as The Illuminati.

Reply With Quote

Old January 3rd, 2012, 01:38 PM   #3 (permalink)
Elite Member
Honolulu, Hawaii
Futures Experience: Intermediate
Platform: NinjaTrader
Broker/Data: ATC/TT, AMP/Zen-Fire, AMP/CQG
Favorite Futures: TF
bluemele's Avatar
Posts: 2,547 since Jun 2010
Thanks: 3,806 given, 2,809 received

Cohan on Psychopaths and the Financial Crisis - Video - Bloomberg

This is good stuff. I think this is a duh...

But, I feel like too many of us grew up with watching WallStreet and thinking that is cool...

To me, Sociopaths' and Psychopaths', it all adds up...

I see some of these traits in myself...

Reply With Quote
The following user says Thank You to bluemele for this post:

Old December 25th, 2013, 04:31 AM   #4 (permalink)
Elite Member
Nîmes France
Futures Experience: Intermediate
Platform: NinjaTrader, Mt4
Broker/Data: NinjaTrader Brokerage
Favorite Futures: Oil
Posts: 44 since Nov 2010
Thanks: 80 given, 13 received

All bad ??

Boddy seems to push the tiller hard over.
This article adds a bit of balance.
The Pros to Being a Psychopath | Science & Nature | Smithsonian Magazine

"Psychopaths are assertive. Psychopaths don’t procrastinate.
Psychopaths tend to focus on the positive. Psychopaths don’t
take things personally; they don’t beat themselves up if
things go wrong, even if they’re to blame. And they’re
pretty cool under pressure."

I'm not defending psychopaths, just wondering if those traits
are all negative ..

Reply With Quote


futures.io > Futures Trading, News, Charts and Platforms > Traders Hideout > News and Current Events > Did Psychopaths Take Over Wall Street Asylum?

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Upcoming Webinars and Events (4:30PM ET unless noted)

Corey Rosenbloom: Tips, Tactics, and Real Trades: Trading Intraday Trend Reversals

Elite only

An Afternoon with FIO trader bobwest

Elite only

NinjaTrader 8: Programming Profitable Trading Edges w/Scott Hodson

Elite only

Anthony Drager: Executing on Intermarket Correlations & Order Flow, Part 2

Elite only

Adam Grimes: Five critically important keys to professional trading

Elite only

Machine Learning Concepts w/FIO member NJAMC

Elite only

MarketDelta Cloud Platform: Announcing new mobile features

Dec 1

NinjaTrader 8: Features and Enhancements

Dec 6

Similar Threads
Thread Thread Starter Forum Replies Last Post
Wall Street Warriors Big Mike Traders Hideout 14 January 3rd, 2013 12:39 AM
Don’t get mad at Wall Street, get even kbit News and Current Events 0 December 6th, 2011 10:55 AM
Wall Street Bonuses Big Mike Off-Topic 2 October 26th, 2011 10:43 PM
Computers rule Wall Street kbit News and Current Events 0 August 14th, 2011 12:04 AM
Wall Street's Favorite Drugs kbit News and Current Events 0 May 10th, 2011 06:14 PM

All times are GMT -4. The time now is 05:31 PM.

Copyright © 2016 by futures.io. All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts

Page generated 2016-10-20 in 0.11 seconds with 19 queries on phoenix via your IP