During the “Go-Go” Wall Street days of a few years ago, some companies got rich by being middle-men between 401k mutual funds and short sellers who wanted to borrow their stock.
The short sellers put up collateral, agreed to pay dividends, and paid a small amount of interest. These middle-men companies took a big slice of [...]
Finally a large financial entity, Calpers, the California Public Employees Retirement System, worth an estimated $173 billion, has sued those responsible for rating the Toxic Assets that are now decimating our national and global economy.
The three primary rating agencies; Moodys, Standard and Poors, and Fitch made “negligent misrepresentations” to the pension fund. The agencies’ ratings [...]
White house served notice to banks who received bailout packages to start lending money.
It was known that banks did not use the bailout money to lend. They were simply sitting on the cash and only buying out distressed banks. Credit market remained closed even though there were some signs that credit was moving. Wall Street [...]
