Member Video #30: Hierarchy
The eurodollar's strength was also its ultimate weakness; by making money (in all its forms) highly mobile as the modern hyper-volume economy required, it ensured wide coverage through maximum flexibility. In order to achieve that capability means relying heavily on the dealer network to be able to vertically integrate capacities and resources among financial classes so as to horizontally integrate those resources all over the world. When it works, the benefits are breathtaking. Depending so heavily on dealer flow also means being susceptible to anything that diminishes their ability to keep it flowing.
