The Most Important Thing Zoltan Pozsar Told Bloomberg

Over the past several days, I've fielded a number of reader emails about a discussion, billed as a debate, between Zoltan Pozsar and mentor Perry Mehrling. Maybe "mentor" isn't the right word. If not, Zoltan is free to correct me. Over the years, I've habitually referred readers to "Bagehot was a Shadow Banker," a short paper they wrote together, along with Credit Suisse's James Sweeney, who infrequently appears as a co-author on Pozsar's notes (or "dispatches" or whatever we're calling them th