The financial ecology is swelling into gigantic, incestuous, bureaucratic banks – when one falls, they all fall. The increased concentration among banks seems to have the effect of making financial crisis less likely, but when they happen they are more global in scale and hit us very hard. ……. We would be far better off if there were a different ecology, in which financial institutions went bust on occasion and were rapidly replaced by new ones. – Nassim Nicholas Taleb , The Black Swan (2007) NTT, as Nassim Nichals Taleb calls himself, showed uncanny foresight when he wrote “The Black Swan”, only a year before the subprime mortgage crisis is pulling the largest banks down into the deepest disaster of their history. Banks like Citi, UBS, or Bear Sterns supposedly had ironclad risk management, to precisely avoid the sort of financial meltdown they are currently experiencing. As NTT writes, these banks are extremely good at planning for all sorts of foreseeable risks, only to be hit by ...