Archive - Apr 13, 2010 - Blog entry

Morgan Stanley closed this deal in June, 2007 at the point when the residential markets were crashing. It defies the imagination why they would at this critical moment raise and commit $8.8 billion to the commercial real estate market. What were they thinking? Hint: fees.

I'm about half convinced on this lady. I'd like to get convinced on the other half.

Finally, some good news on the pension front. The Healthcare of Ontario Pension Plan (HOOPP) recorded a 15% rate-of-return for the year ending Dec. 31, 2009. Not only has the plan hit a record high of C$31.1-billion of assets-under-management, but it is now 102% funded, which means its 250,000 employees and retirees can breath a sigh of relief that they won’t see any benefit cuts or contribution increases for the foreseeable future. Larger public pension funds should take notice. HOOPP is running HOOPPs around the competition.

There is very little chance that economists will improve their models because ...

An interesting proposal from the FDIC. Charge more for insurance. What a novel approach. The banks will hate it.

Yes, we need no bananas ...

The NBER said Monday that it's too soon to call the recession over, although many of its members think it is. Is it over? Is there a flaw in their analysis?