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Monthly Archives: February 2009

TARP for Dummies

TARP for Dummies View more presentations from catelong. (tags: tarp us treasusry)

large, aggregate exposure to the same counterparty, such as AIG, may cause disruptions in the marketplace if the viability of the protection seller is in question

The following is two sections of a very good article written by NERA Consulting about the origins of the credit crisis… I’ve included the sections on CDS and ABS CP… see the whole article for a discussion of MBS and mortgage underwriting standards… ~~~~ Credit Default Swaps Some analysts argue that the problems were compounded […]

On the town

What a rich story of Wall Street municipal underwriting corruption Andrew Ackerman of the Bond Buyer reports…  Mesquite, Texas, a town of 137,000, sent first 11 people to New York to meet with credit rating agencies and was reimbursed by the underwriter… then followed with a trip for 15 people to meet raters about another offering… […]

use these funds to create new, vibrant institutions

 During a conference held at the Italian Academy of Columbia University on Feb. 20, 2009 Professor Joseph Stieglitz discussed the Treasury’s and Federal Reserve’s plans to restart the financial system… although he talks in the arcane language of monetary and regulatory policy the core of his message is the conflict between free market principles and centrally commanded banks… and […]

Join in the CDS party…

The American Enterprise Institure held an excellent event about the CDS markets on Monday… The core of our financial crisis is the toxic leverage embedded in our largest banks from CDS… the Federal Reserve has been doing all in their power to help prop up the large banks who are suffering from the speeding CDS unwind. […]

Expand FDIC guarantees to all asset classes says Mizuho economist Ricchiuto

Steven Ricchiuto, chief economist at Mizuho Securities USA Inc. discusses the Treasury’s and Federal Reserve’s plans to stimulate the economy and attempt to restart the credit markets… Mr. Ricchiuto suggests expanding the FDIC debt guarantee program to cover all types of debt at all maturities… he says “make the FDIC like a monoline”… this is […]

Chief Executive Blankfein

~~~~ ” ….After the shocks of recent months and the associated economic pain, there is a natural and appropriate desire for wholesale reform of our regulatory regime. We should resist a response, however, that is solely designed around protecting us from the 100-year storm. Taking risk completely out of the system will be at the […]

Fixed income market baby steps

The fixed income markets have long been the domain of institutions… partly this is due to the cost of getting data and information related to fixed income… credit ratings… pricing data… security master data… it’s wonderful to see firms beginning to use the Internet to untangle, process and package information for this market… hopefully one […]

Transparency Renaissance – 1

From George Washington’s blog… ~~~~Judge grants request from Fox – Treasury must provide info on Tarp bailout On November 25th, Fox business network submitted a Freedom of Information Act request demanding that the Treasury Department: Identify, among other issues, the troubled assets purchased, any collateral extended, and any restrictions placed on these financial institutions for their […]

$ 483,000 per US household