Richard Handler

jefferiesAs you may have heard, this week has been a tough one for Team Jefferies. Not only for Global Healthcare Head Sage Kelly– who took a voluntary leave of absence yesterday– but for other senior members of the bank, who’ve either been named in the complaint filed by Kelly’s soon-to-be ex-wife or simply felt embarrassment by association. It’s unclear what exactly was going on over at HQ today, but it seems that some sort of tipping point occurred and a scene similar to the following occurred:

Senior Jefferies Management is reading the latest allegation re: Kelly

SJM: “Oh come on.”
SJM: “Oh this is ridiculous.”
SJM: “You’ve got to be kidding me. No, this is…oh HELL NO [unbuckles belt, screams into intercom:] “Get me a cup…I said get me a fucking cup!”

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…per the instructions enclosed in a letter sent out by CEO Richard Handler and Chairman Brian Friedman. The short version: Treat junior level employees like they are humans and not life-sized pieces of garbage. The longer version: Read more »

Fresh off the greatest Ice Bucket Challenge of all time, Richard Handler threw his clothes back on and raced to the office to put the finishing touches on Jefferies’ third-quarter results, which he expects you’ll be suitably impressed by. Read more »

  • 20 Dec 2013 at 3:23 PM

Bonus Watch ’13: Jefferies

Last year, a li’l investment bank that could called Jefferies paid out bonuses comprised entirely of cash. This proved pretty popular, so this year, CEO Dick Handler has decided to do it again. Read more »

  • 02 Apr 2013 at 3:24 PM

Richard Handler Is Sorry You Had to See This

Jefferies Chief Executive Officer Richard Handler said he sued to stop construction of a roof deck across the street from his Tribeca apartment on behalf of his neighbors, according to an e-mail to employees. “I took the lead to help our neighborhood oppose what we know will be a major nuisance and disruption to our lives,” Handler, 51, said in the March 31 correspondence, the contents of which were confirmed by a Jefferies spokesman. “You can be assured we are not going after the city in any way and are only asking for their help in dealing with a huge potential problem.” Handler told employees he wrote the e-mail to apologize for “recent distractions in the media concerning me,” including stories that portrayed him as a “tone-deaf one-percenter.” [Bloomberg]

  • 04 Feb 2013 at 2:25 PM

Moody’s Attempts To Ruin Dick Handler’s Good Time

Until recently, being chief executive officer of Jefferies was an exercise in getting shit on. As the man in charge for the last 13 years, Richard Handler has had to put up with a lot of hurtful remarks that, while nothing to the person tossing them off, undoubtedly stung quite badly. “Third-tier bank.” Place “I wouldn’t let my maid’s kid work.” “Poor man’s Morgan Keegan.” So you can imagine that after a string of victories over the last several months that included getting involved in the slaughterhouse business and paying all-cash bonuses unlike some people, Handler and Co. would be feeling pretty good about themselves and that after announcing to the world they were getting paid more this year than their counterparts at big kid banks, they’d be feeling REALLY good about themselves. That payday, however, did not go over well when input into Moody’s proprietary just-make-it-up credit-rating model, and now Handler’s plan to gather everyone up to watch as the board shoots his compensation out of a tee-shirt gun in hundred dollar bills is completely ruined.* Read more »

I’m mesmerized by this JPMorgan research chart showing that big banks shouldn’t be broken up because they lend so much more to businesses and consumers than small banks do. See:

Basically for every dollar of normalized capital, JPMorgan has extended $12 of credit between March 2010 and September 2012, according to this note by JPM’s Michael Cembalest. Whereas the small banks have loaned out only about $2. Get with the program, small banks!

The trick here – besides “normalized capital”1 – is that “credit extended” means (1) “changes in commercial and consumer loan balances” plus (2) syndicated loan, corporate bond, muni bond, etc. underwriting. That is, if you stand between a company looking for money and the market that provides it, you get, um, credit for extending credit, whether you do that standing-between in traditional banking ways (take deposit, make loans) or in traditional investment banking ways (match bond buyer with bond issuer). “See, we’re lending,” says JPMorgan. “We’re just not lending our money.”2

As a rhetorical move, I say: A+. Read more »