Wall Street’s 9 Worst Bets Ever: From Nick Leeson to JPMorgan
4. Ralph Cioffi and Matthew Tannin, Bear Stearns
The pair ran hedge funds for Bear Stearns, and like much of the marketplace pre-2008, bet heavily on the subprime mortgage market. But their ill-fated strategy crumbled when the subprime market began to fail during the summer of 2007, and those bad bets cost 300 investors nearly $1.6 billion. Those bets were also the beginning of the end for Bear Stearns, and less than a year later the once-proud firm was sold off to JPMorgan for $2 a share.