C hapter 3 · M arket p eaks and a ll the r ed F lags t hey W ave 61 MF Global I wrote these comments on risk management well before MF Global failed, and although it may take years for the precise sequence of events to be fully revealed, I strongly suspect that the existence of a Big Truth--in this case that CEO John Corzine is a great business leader and risk taker--and the abdication of risk management played an enormous role in the precipitous decline of the firm. Organizational Complexity A third consistent element of peaks is oversized organi- zational complexity. Whether it is through excessively large