Ex-CEO Cayne acknowledges "leverage was too high" at Bear Stearns

James Cayne, former CEO at Bear Stearns, started his testimony before the Financial Crisis Inquiry Commission with a somewhat surprising statement. "In retrospect, in hindsight, I would say leverage was too high," he said. Cayne avoided taking blame for the leverage issue or others that led to the company's failure. "Bear Stearns' collapse was not the result of any actions or decisions unique to Bear Stearns," Cayne said. "Instead, it was due to overwhelming market forces that Bear Stearns, as the smallest of the independent investment banks, could not resist."

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