Tag Archives: risky assets

Could Countrywide Cause The Death Of Bank of America?

The current leadership of Bank of America keeps undoing acquisition after acquisition by its previous head, Kenneth D. Lewis. Now it is selling off its overseas credit card units. Perhaps the most disastrous purchase by Ken Lewis was Countrywide. The … Continue reading

Posted in Banks | Tagged , , , , , | Comments Off on Could Countrywide Cause The Death Of Bank of America?

The Essential Glossary

From the Guardian: Collateralised debt obligations A CDO is a financial structure that groups individual loans, bonds or other assets into a single portfolio which can then be traded on the money markets. When they were introduced, CDOs were seen … Continue reading

Posted in wall street | Tagged , , , , , | Comments Off on The Essential Glossary

Lehman Brothers Selling Mortgage Securities

From the New York Post: In a move similar to what Merrill Lynch has done, Lehman Brothers’ CEO Dick Fuld is trying to shop tens of billions of dollars in mortgage securities on its balance sheet in order to reduce … Continue reading

Posted in wall street | Tagged , , , , , | Comments Off on Lehman Brothers Selling Mortgage Securities

Who’s To Blame For The Subprime Crisis?

Economist Steven A. Landsburg writes: It seems to me that the Federal Reserve and government regulators are largely propping up the lifestyles not of the middle class in general, but of various individuals who made choices that turned out badly … Continue reading

Posted in Economy | Tagged , , , , , | Comments Off on Who’s To Blame For The Subprime Crisis?

Israeli Bank Trying To Sell Its Mortgage Portfolio

Haaretz reports on a troubled Israeli bank — Hapoalim. It appears to be up for sale. It wants to sell its mortgages and is willing to take a $1 billion loss. Ouch. The Jews may have invented banking but they … Continue reading

Posted in Israel | Tagged , , , , , , , , , , , , , , , , , , , | Comments Off on Israeli Bank Trying To Sell Its Mortgage Portfolio

Why Are We Taxpayers Subsidizing Foolishness?

If people buy mortgages they can’t afford, why should I bail them out? Why is the government subsidizing bad decisions? From today’s WSJ: The perennial argument of regulators is: "If only I had more power. . ." Not so. Regulators … Continue reading

Posted in Politics | Tagged , , , , , , , , , , , , , , , , , , , | Comments Off on Why Are We Taxpayers Subsidizing Foolishness?

Restoring Faith In The World’s Credit Markets

Reuters reports on solutions to the credit crisis. Should central banks start buying toxic mortgages? The Bank of England says it will not. LONDON: The global financial crisis that has raged for months shows no signs of ending, and the … Continue reading

Posted in Bankruptcy | Tagged , , , , , , , , , , , , , , , , , , , | Comments Off on Restoring Faith In The World’s Credit Markets