Ahahahhhaaa! Yeah ok!
HuffPO-
Hey, girl, you can totally trust Goldman Sachs now when it suggests you should buy subprime mortgages. Not like that other time.
Goldman is telling its clients to buy stakes in some of the ABX subprime-mortgage indexes that it helped create back before the crisis, back when it was betting against subprime mortgages. It was betting against subprime mortgages so hard that its pet name for that bet was “the big short,” just like the Michael Lewis book.
We know Goldman has hurt you in the past. A lot. We know it has only been a few years since Goldman was selling you collateralized debt obligations stuffed with toxic subprime mortgages with one tentacle and then betting heavily against them with the other. But it has paid its dues, baby: $550 million, to be exact. That’s real money. Money that took several hours of hard work to make up. Those hours gave Goldman time to think about how it had done you wrong. Actually, scratch that — Goldman doesn’t admit or deny wrongdoing, baby. You know that’s not how it rolls. But you get the picture. Anyway, the Securities and Exchange Commission says Goldman is totally in the clear now.
image: blogs.salesforce.com
Remember this “Shitty Deal” below?
© 2010-19 FORECLOSURE FRAUD | by DinSFLA. All rights reserved.
SNAKE OIL FITS! ANYONE WHO WOULD TRUST THEM NOW IS A FOOL AND WOULD DESERVE THE LOSSES. THE INVESTORS JUST ARE NOT THAT STUPID AND IF THEY ARE THIS TIME NO ONE SHOUJLD FEEL SORRY FOR THEM WHEN THE SNAKE EATS THEM ALIVE. THE SCUM BAGS ARE NOT TRUSTED ANYMORE DO THEY GET THAT?????
Derivatives expert Janet Tavikoli explains the financial crisis. IT ALL STARTED WITH FRAUDULENT PREDATORY LENDING AND FINANCIAL ALCHEMY OF TURNING A SINGLE MORTGAGE INTO MULTIPLE MORTGAGES VIA FINANCIAL ALCHEMY CALLED SECURITIZATION. OUR FEDERAL AND STATE GOVERNMENTS ALLOWED THIS TO HAPPEN THROUGH LACK OF BASIC REGULATORY ENFORCEMENT OF FRAUDULENT AND PREDATORY LENDING AND PREDATORY FRAUDULENT SECURITIES SALES VIA MORTGAGE BACKED SECURITIES – YOUR PENSION PLANS. (Kiss YOUR financial future goodbye!)
She explains this very clearly in this article.
“The financial crisis resulted largely from the use of credit derivatives. How?
We saw them hide risk and create a lot of leverage in the global financial system in securities and securitization, where one bad mortgage could be levered up to be in numerous different deals. That kind of malicious leverage had a big impact. A lot of fraudulent securitization provided funding for corrupt lending. Had we not done that, our housing crisis — and the situation we still have today — wouldn’t have been nearly as bad. Derivatives helped supply the leverage to inflate the bubble.
Are they still dangerous?
Today we see a credit derivatives market that is poorly understood by regulators and even by many of the banks who are participating in the market. And there just doesn’t seem to be a will to clean it up.
What should be done about sovereign credit default swaps?
When they were [first] sold, the hype was that they were useful hedging tools. The result is that they have been a game for speculators more than a hedge for hedgers. Speculators can go in and depress sovereign debt just when a sovereign needs to roll over debt — and of course the price of the credit default swap will shoot up. These games create temporary dislocations in the market. Given that we haven’t driven speculators out of the market, it’s a good idea to ban credit default swaps altogether.
What else can be done now to try to prevent another financial crisis?
In terms of money flow in the U.S., we have to write down debt and maybe have some sort of debt forgiveness. That’s a radical thought, but some people will never be able to get out from under their debt in their lifetime. Going forward, we have to make responsible loans.”
http://www.advisorone.com/2012/04/25/finding-the-culprits-of-the-crisis?t=economy-markets&page=4