The five big US banks that hold 97% of
the CDO's obviously influence the ISDA
- the five big US banks effectively determine their own fate.
- If they deem a default they seal their own fate.
- So they won't declare a default event.
- Claims MFG went in view of having gone all in buying Greek
default derivatives
- Not deemed a default so MFG went belly up.
- If not declared a default event - those holding Greek
default insurance, take
the full haircut hit.
(MFG Mk II, III, IV etc)
- Counterparty dominoes
The quiet paper over, & QE to infinity.
- In which case blue touchpaper lit - stand well back
which they won't let happen...
\\\IMPENDING/// ISDA Report!!!...
Posted by dylan398 on 31st of Jan 2012 at 07:54 am
which they won't let happen...
Exactly!!...
Posted by saturn6 on 31st of Jan 2012 at 08:00 am
- the five big US banks effectively determine their own fate.
- If they deem a default they seal their own fate.
- So they won't declare a default event.
- Claims MFG went in view of having gone all in buying Greek default derivatives
- Not deemed a default so MFG went belly up.
- If not declared a default event - those holding Greek default insurance, take
- Counterparty dominoes
The quiet paper over, & QE to infinity.
- In which case blue touchpaper lit - stand well back
So who holds Greek default insurance? It aint mom and pop
Posted by ragwing on 31st of Jan 2012 at 08:33 am