Kweku Adoboli "learn nothing forgotten nothing."

The charges state that Mr Adoboli, who worked on UBS’s now notorious “Delta One” trading desk, “dishonestly abused” his position, intending to make a gain for himself, “causing losses to UBS or to expose UBS to risk of loss”.

This is not the first story of rogue trading, we already know what Nick Leeson did with Baring bank in 1995. Investment bank's should learn lesson from past and impose proper risk management system. I won't say, it is the fault of trader, but inefficiency of UBS risk management team. They should also be penalized bcz of their failure. It will be in best interest of taxpayers to divide retail banking and investment banking. Taxpayers money should not be wasted to prevent such investment backs whose internal system is the reason of failure. If you do it, you have to bear the consequence, this should be told to investment bankers

Not to worry though...
Central banks are flooding the markets with cash.---

The Fed, ECB, Bank of Japan, Bank of England and Swiss National Bank are launching a coordinated global effort to boost dollar liquidity, according to headlines just crossing the wires, and futures are soaring.

The Dow futures jumped to 100 from about 20 in a few seconds. S&P futures are up about 12, and Nasdaq futures are up about 24 points.
The euro has rallied back to nearly $1.39 on the news.

The 10-year Treasury yield has jumped to 2.12%. Risk is on again.

It would be really cool to find out in what sort of trades such trader got into to dig such a massive role. Maybe we could learn something about trading floors' exquisite activities...

Ttrader that makes $2 B profit is called a hero. A trader that loses $2 B has gone rogue. He was trading on his own. We didn't know what he was doing. Yata Yata Yata. Same old song and dance

It suggests to me that a wise investor would avoid investment banks because, in spite of the the implied government insurance, the management of these businesses appear to be completely out of control of the shareholders. On the other hand, independent retail banks are more comprehensible and (somewhat) more transparent, so the risks should be easier to evaluate.
It would be interesting to know, if anyone can work it out, whether retail banks are priced at a premium over their big brothers. If so, it would be in the interests of the shareholders - as well as the governments - if retail banking arms were spun off from the big banks. And if not, why not? Or am I missing something?
 like the statement "some of the services offered by investment banks are useful". Indeed. The problem is that some other of their "services" are not useful at all, but nevertheless sometimes very profitable - not unlike drug dealing for instance.
The City is not too far from Tower Hill. And it should still be possible to find a block of wood and an axe. The problem with investment banks is that the recent financial crisis has shown that there is not much risk in betting the bank. The same applies to the wheeler-dealers who can squander billions with a mouse click. Losing the job after having been able to stash away substantial bonuses in off-shore accounts is not the worst that can happen to someone. On rare occasions, one ends up in prison, as did Bernie Madoff. But only if they were foolish enough to turn a few influential billionaires into millionaires. Legislators should make sure there is a real cost to individuals. Not necessarily lopping off the heads of traitors to the general public. But how about long-term prison sentences in places like Alcatraz. The billion Euros damages awarded against Kerviel are merely symbolic and 3 years in prison are not nearly enough for the likes of him.