Posted by guest , Jan 22, 2009 2:50PM

These graphics dramatically overstate the decline. The ratio of current market cap over '07 market cap is the same as the ratio of the radius of the smaller circle to the radius of the larger circle. Problem is, since the area of the circles is a function of the *square* of the radius, the ratio of the areas is far lower. E.g., JPM's green circle is about 1/4 the size of its blue circle, even though the market cap declined by (only) 50%

Posted by guest , Jan 22, 2009 2:50PM

no BAC, WFC? also...JPM, among others, is probably distorted by stock issued to aquire BSC, etc.

Posted by guest , Jan 22, 2009 2:51PM

sadly, the pic exaggerates the implosion by implying the relative change in area where the numbers indicate the change in mkt cap is proportional to the change in heights of the circles.

Still funny as $hit!

Posted by guest , Jan 22, 2009 2:53PM

That scale looks odd. Therein lies the rub w/ all-so-fun bubble graphs.

Posted by guest , Jan 22, 2009 2:54PM

Does this include all the new capital poured into banks?

Posted by guest , Jan 22, 2009 2:57PM

Pretty embarrassing that JP didn't bother checking the sizes of the circles. Notice how Citi's 2009 circle is 99.5% small than its 2008 circle, even though the decline in market value is "only" 92.5%. Someone should learn how to use these mysterious "square roots".

Posted by guest , Jan 22, 2009 2:59PM

Citi = Liz Claman?

Posted by guest , Jan 22, 2009 3:06PM

@11 i'm a hedgefund manager, what is a square root?

Posted by guest , Jan 22, 2009 3:08PM

What is a HEDGE HOG?

Posted by guest , Jan 22, 2009 3:09PM

@13
Brilliant

Posted by guest , Jan 22, 2009 3:09PM

Blowing bubbles?

Posted by guest , Jan 22, 2009 3:12PM

Should show same silly graphic with size of fed balance sheet on those same dates....

Posted by guest , Jan 22, 2009 3:20PM

Comment removed by moderator.

Posted by guest , Jan 22, 2009 3:25PM

It's probably pointless to comment, but whatever analyst made this is a total waste. Don't you have excel backup that equates the market cap ratio to the circle area ratio, then back into the implied diameter, then use the implied diameter to right-click / format object / size / height and width? I weep for the future.

Posted by guest , Jan 22, 2009 3:36PM

I love olives

Posted by guest , Jan 22, 2009 3:45PM

I'm surrounded by assholes.

Posted by guest , Jan 22, 2009 3:57PM

Back door porn?

Posted by guest , Jan 22, 2009 4:00PM

Circular argument, didn't read.

Posted by guest , Jan 22, 2009 4:01PM

The pic is funny. Stop mind-fucking it.

Posted by guest , Jan 22, 2009 4:07PM

The RBS graph is exactly what my boss would see if our urinals had mirrors.

Posted by guest , Jan 22, 2009 4:27PM

Hi

Posted by guest , Jan 22, 2009 4:32PM

@28 I guess that explains your sore throat?

Posted by guest , Jan 22, 2009 6:00PM

@27 agree. Look at the numbers and do simple math...you quants out there