Margin Call EXPLAINED...by the Director

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We take a look at the Director’s Commentary for Margin Call, and find out what questions it answers. From “the music is about to stop” to that very short phone call in the first meeting scene, there is a lot of interesting information hiding in the commentary.

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SOURCES

Description
English: photo of film producer Neal Dodson on the set of All Is Lost in Baja Mexico.
Date 26 September 2017
Source Own work
Author Ladybrettashley17

Description Português: Davos (Suíça) - O presidente do Citigroup, Chuck Prince, durante o Fórum Econômico Mundial
English: Davos (Switzerland) - Citigroup's CEO, Chuck Prince, during the World Economic Forum
Date 25 January 2007
Source Agência Brasil [1]
Author Ricardo Stuckert/PR

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Margin Call Senior Partners Emergency Meeting
Margin Call First Meeting
Margin Call Peter discovers the firm's projected losses on MBS products
"It's just money. It's made up" - Margin Call
Margin Call - Fire Sale of Mortgage Bonds (Wall Street Investment Bank Trading)
Fire Sale - Margin Call
Eric Dale is fired - Margin Call
Margin Call - Searching for Eric Dale and Sam meets with Will
Margin Call - It didn't seem like much of a choice
Margin Call - Will Emerson talks about the impending financial turmoil
Margin Call - Fire Sale Pep Talk
Margin Call Best Quote by Will Emerson
Margin Call Seth Jared fired
Margin Call Ending
Margin Call Stanley Tucci Paul Bettany
Margin Call Sarah Robertson fired
Margin Call Will Emerson Jared Cohen parking garage
Margin Call Sarah Robertson Jared Cohen
Margin Call Zachary Quinto as Peter Sullivan
Margin Call Jeremy Irons as John Tuld
Margin Call Paul Bettany as Will Emerson
Margin Call Simon Baker as Jared Cohen
Margin Call Penn Badgley as Seth Bregman
Margin Call Demi Moore as Sarah Robertson
Margin Call Stanley Tucci as Eric Dale
Margin Call Aasif Mandvi as Ramesh Shah
Margin Call deleted scene

[johnnybraccia]

the music metaphor refers to 'musical chairs, ' the game. everyone is walking around a circle of chairs, when the music stops everyone sits down. however there is always one chair less than the number of people. you grab a chair or you get booted put of the game. considering the 'game theory' in finance and the mega wealthy, it's a metaphor everyone
in the room is very well versed with.

[jamesdrynan]

Irons as Tuld says, " If you're the first out of the door, that's not called panicking. " How cutthroat is that as a strategy?

[Gxstorer]

I’ve always thought of Jared as the Machiavellian schemer, who knows how to position himself around successes, and to avoid ever getting the blame. So when John asks him publicly what to do, there is nowhere for him to hide, and so he remains silent; if you suggest something that goes south, he will clearly be blamed for it and is waiting for someone else to publicly present it that he can later piggyback onto. But when John starts harassing him for his silence, I see it as John saying “Enough of the games (i.e. THIS IS IT), we need a solution and we need it now, so put your cards out on the table.” Which Jared then finally is forced to put his neck on the line.

[markwj]

Love the continued Margin Call analysis, it's one of my favorite films of all time!

Would be great if you could keep the quotes up for longer in future vids so they can be read without pausing - or shorten them :)

[jeroenvs]

I think both Tuld and Jared both knew, and had even planned ahead for this eventuality. Think about it, Tuld says he makes the big bucks because his job is to “guess” what will happen weeks, months, a year from now. If he’s worth his salt, he already knew this was coming a year ago. Also, notice how brief Cohen’s phone call with him was. Cohen steps out of the meeting room for less than 10 seconds. I can imagine the conversaion going like this: “It’s happening” “I’m on my way”.

[MarkHalberstram]

You may have already seen it but I ran across a Reddit post or comment a while ago that went into a bit of detail on the wardrobe in this film and some of the characterisation that it reveals — I seem to remember the commenter paying particular attention to Tuld, for his unusual button-down, barrel-cuff shirt and wide red tie which is a striking contrast to everybody else in the room. The tie is a power statement obviously but the shirt seems like a conscious Americanism, maybe a hangover from his early days on Wall Street when he was trying to fit in in his new environment. Definitely worth tracking down, it was a really thought-provoking read and might reveal other insights to the discerning Margin Call enjoyer. Great vid as always

[okaythankyoubyeee]

Great content!!

The one thing I wanted to add was this is supposed to be a MASSIVE investment bank, the logistics of getting their senior partners to emergency meetings has probably already been planned out to some extent and they would have an immense amount of resources to allow them accomplish it as quickly as need be.

[JUNGLEsausage]

It makes me think Jared is more cunning than what he already was.

[hansbernhardmeyer]

as a former investment banker with one of the biggest Wall Street players, I have experienced that everything is possible within the Firm at any time of the day, or night. No resources are spared to get a problem solved at any time - even a meeting at 4am on a week end, if necessary. Because all expenses will be reimbursed to find your way in. As money is no issue, logistics are no obstacle..

[crayzmarc]

A belated Christmas present in this video. Thank you and happy New Year!

[MTBExtraordinaire]

I disagree with the director saying "Jared doesn't say anything because he doesn't know the answer". For 1, we know he is very young for his position and he is a 'killer' according to Will Emerson. We also get a clear picture of this in all of his interactions with the other actors, as he is incredibly polished and sharp as hell. Also, in the first meeting he sizes up the problem within a few seconds and asks Sam 'how long it would take to clear this from our books'. He knows exactly what has to happen well before Tuld's speech. So I really don't have a great explanation as to why he stays quit, other than he is giving Tuld the chance to 'present the solution'. I'm not convinced by any of the explanations I've heard so far

[mcraiderking]

It has always been my belief that Tuld knew something was up, before Jared called him. Hence, Jared and he had spoken, before the meeting that evening.

Thank you for covering this movie, it’s truly one of my favorites.

[Magic_beans_]

Whether targeted at Jared or the others, I like that the question hangs in the air. It’s often the case that the things we learn or deduce for ourselves are more persuasive than things we’d been told. If Jared had answered immediately, selling would be _his_ plan. By giving everyone a minute to think through the options they’ll hopefully conclude it _has to be_ the plan.

[investorpubs]

Sure some people got to it below, but here are my thoughts.

1. Great movie
2. Movie starts with people being fired en masse...so the music was already, 'slowing, ' and senior management knew it. They were anticipating it.
3. The inciting event is not the slowing market or the firm's current state. The inciting event is that an associate figured it out based on another (former) employee's work. So, as Tuld says, if this guy can figure it out, the rest of the market isn't far behind. That's why they are there. The associate's work is the market knocking on the door.

So...all of senior management knows there is, 'a problem, ' but they didn't know the extent or nature of the problem. It was a vague, general, thing where they know they are overleveraged and the assets are not being correctly valued. The problem is that they can't just, 'stop, ' because nothing has happened. In comes an associate who shows them the math and makes it clear. Once it is clear they have what they need to exit. A slow exit is impossible because they can't figure out what anything is worth....so, it's a fast exit. There's nothing more to it than to figure out who to blame (risk management), how to get the traders to do it (incentives), when it has to happen (immediately) and how to manage the fall out (there's foreshadowing to that in Tuld's expressions to Sam).

These are all hyper-intelligent people and exceptionally prepared for anything. Jared's call to Tuld is something like, "It's happening." Tuld was on his way and his assistant would be getting everyone there in minutes. Tuld and Jared already knew what they were going to do.

I've worked in similar corporate settings and the whole movie is reminiscent of what meetings truly are - people in power have other meetings and then they have meetings to demonstrate and align everyone else. They already know exactly what they want and how they will go about it.

[ChrisCoombes]

If streaming services offered directors commentaries in their premium tiers I’d be tempted.

[gulli]

Chances are, Jared reached house staff, said: "This is Cohen. He needs to come in right now, " and hung up, and it was clear that he wouldn't do that lightly.

[StimParavane]

IMHO there is no way they will not have mapped out their exit strategy for when the market turns down in advance. The discussion is for the senior partners' benefit informing them of what they are going to do and why.

[Traye]

I felt Jared already knew what John would likely do. So he just waited until it was time to agree.

[kylemcmullan]

To me, the senior meeting and the "look" Jared gives to Tuld is even more, it's a choreographed dance. They both knew what needed to be done instantly, that's why Jared called Tuld. As evidence for this, Jared asked Sam how long it would normally take to move these assets off the books in their previous meeting, and knew the answer of months wouldn't work. Jared also knew that he couldn't do this on his own, the firm's board needed to be on board, and only Tuld could deliver that. In the board meeting, Tuld asked his protege what to do, and his protege gave him a look that said "you hold up your end first." After Tuld delivers the most famous line of the movie, Jared instantly responds, no hesitation. Jared gets the credit for bold action and continues to climb, Tuld gets the credit of looking like he isn't dictating to the board and continues to control. They both knew their part to play, and they played it.

[JGComments]

John and Jared both know. John knows that Jared knows. He is giving him permission, giving him the OK, to pitch the most extreme option to the senior partners.