Extreme Money

Money transformed cities and entire countries. Financial centres replaced industrial and trading districts in importance. New York, London, Frankfurt, Tokyo, Hong Kong and Singapore emerged as major financial centres. As trading is electronic, location did not matter. The convergence of financiers to particular locations reflected English economist Alfred Marshall’s 1890 observation: ‘the mysteries of the trade become no mystery, but are, as it were, in the air.’¹

The players did not make things or trade goods. Instead, they traded trillions of dollars, euros, yen, bonds, shares, commodities and derivatives. Much of the activity did not generate ...