This video clip isn’t a direct answer to your question, but it is useful nonetheless.

http://www.youtube.com/watch?v=lQsC-F9YRxk

It is Ron Paul on CNN American Morning today talking about the financial cluster bomb that we are in. At about the 4:15 mark Ron Paul starts to talk about the pyramiding of derivatives and how Warren Buffet says that he stays away from them because they are so complex.