bloomberg.com:
July 8 (Bloomberg) -- Morgan Stanley plans to repackage a downgraded collateralized debt obligation backed by leveraged loans into new securities with AAA ratings in the first transaction of its kind, said two people familiar with the sale.
Morgan Stanley: Summary | OpenSecrets
Collateralized debt obligation - Wikipedia, the free encyclopedia
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Weren't there supposed to be new regulations that would prevent this from ever happening again. I guess the new boss really was the same as the old boss.
the beginning of another bubble.
thanks obama for hoping to make the deregulations permanent.
One man's junk is another man's treasure?
he will have your treasure in payment for his junk---dont go there
40 % of our economy is financial services.
That's got trouble written all over it.
You hit the nail on the head, although I don't think it is quite that much.
I read it somewhere, I'm too lazy to google it.
Not if you're a casino owner... Err...
The good folks on The Street spend every waking hour scheming to get their hands in you pocket.
Naturally, they'll do much better at it, than you will trying to stop them.
I've been unemployed for two years, was underemployed for a time before that, and never qualified for unemployment benefits because I was self-employed. I'm lucky if I earn $50 a week, and I'm socked for double the usual social security tax on that, starting with the first dollar I earn--no deductions, no allowances. For the first time in my life (and I'm 57) I'm applying for food stamps, but there isn't a guarantee that I'll get them. I've been hard-working, responsible, honest, tenacious, and resourceful all my life, and I'm being penalized severely for it. And all I can do is stand by helplessly while these thugs loot the country and further lessen my chances of finding work--just as I had to stand by helplessly in the 1980s while Americans acted like they were voting in high school popularity contests, and while I knew that the consequences for me and many others were going to be dire.
What will it take for this to reach the bursting point with the American people? When will a groundswell, massive grassroots effort begin to take back our rights?
In the end, I blame the American people for letting this happen, for their almost willful complacency, apathy, passivity, and foolishness.
Sounds like change we can believe in. Chump change.
Chump change is when you tro//ies get brand new monikers.
It does smell kinda funny. just don't buy it and it'll be worth less. it's the emperor's new clothes.
What's the problem folks? Shoddy finance is America's gift to the world! What do you expect from a nation which comprises six percent of the world's population yet spews thirty percent of its greenhouse gases and employs two thirds of its lawyers? From the nation that spends as much on weapons (of mass destruction and otherwise) than every other nation on earth combined? Whose central bank is an anti-democratic sham cloaked in secrecy whose purpose is to finance the thieves running Wall Street?
When citizens have devolved into consumers (i.e., mind-controlled zombie-slaves) the only way to truly awaken them is for the mass consumption machine to collapse, which has begun. Democrats and Republicans both share the same objective - to restart the consumption machine at all costs, to get consumers borrowing again, etc. - which is why neither party is ultimately the answer. We must look beyond the path that brought us here if we hope to arrive somewhere different, which is why this is such an exciting time to be alive. Democracy now functions most efficiently in the blogosphere. We will exchange ideas, the ideas will grow, and from that new possibilities that were once unimaginable will arise.
The new way will be forged in cyberspace.
I pray you are right and the revolution has started.
wallstreet
Co-sign with emphasis on cocksucker
You learn well, grasshopper.
I'll second that.
Leave it to people who eat $100.00 hamburgers in the Hamptons to think they can sell this sh*t to people again. Who is going to buy this stuff??? The pension funds that got burned, the hedge funds who promised investors higher than average returns on exotic products, the investors wiped out by Stanford and Madoff?
The main reason this will not fly is because real estate values are not in line with the debt obligations of the mortgage. At what discount level do these things make sense? There is no way to set a market value on WS for these instruments when the asset value will be determined by regional real estate markets that have differing values and an economy that is still in decline.
And the rating agencies are going along with this AAA rating knowing what the bundles contain? Well, at least everybody knows going in what happens to these bundles.
hedgefunders knew last time as well, nothing has changed.
Some did, some didn't.
The ratings agencies were paid large fees to stamp AAA on what were essentially junk bonds.
Paging Matt Taiibi, Matt where are you?
Interviewing bodyguards.
As long as the rest of the world is willing to go along with Wall Street's fraudulent activities all is well.
Wow, I haven't seen you for a long time.
Lot's of volume on this site now, but I'm around. Nice to see you.
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First Posted: 07- 9-09 08:34 AM | Updated: 07- 9-09 08:38 AM