Credit Default Swaps

If any of you guys missed 60 MInutes last night, there was a great story about how we go into this financial crisis. I highly recommend that you check it out. I don’t see why the CEOs of the companies that devised and promoted (colluded) credit default swaps haven’t been arrested for fraud or possibly even under the RICO ACT? Simply put, credit default swaps are a kind of investment insurance, but since the insurance industry is regulated they called them “swaps” to circumvent regulation. A rose by any other name… If someone kills somebody and describes it as “cleaning” they don’t get off free and clear and neither should these dumbasses. It is what it is.

~ by Woeful on October 6, 2008.

6 Responses to “Credit Default Swaps”

  1. I did see that and all it did was piss me off even more than I already am. The CEOs you refer to will not only NEVER be arrested, they will life a lifestyle that I can only dream of. Jackoffs.

  2. I am Jack’s raging bile duct.

  3. i did see it as well and was incredibly pissed! of course unfortunately not surprised. then the news that the ceo of lehman’s took 300 million from the company over 8 years and then doled out 20 million dollar bonuses to the execs after approaching the govt for a bailout. if only we all got so rewarded for doing a shit job! i plan on complaining to my elected officials a lot until someone’s head roles!

  4. Do you have a Private mortgage insurance (PMI) policy? If you do your PMI insurer has passed along their risk by buying a credit default swaps (CDS) to protect them in the event you have your home that your home is taken away from you. CDS and PMI are the same thing. Make people wanting to buy a home put at least 20% down if you don’t like them.

  5. How about we make sure that people are able to actually afford their loans? Predatory lending practices were running rampant and took advantage of many people who didn’t understand what they were getting themselves into. Either way, if they are “insurance” they should be regulated as such.

  6. I am SO with you on this point. I loved Obama’s comment during Debate II on the matter. These executives who authorized underlings to run such schemes should be fired (at a minimum).

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