rcwhalen's blog

CA AG Kamala Harris wants to change CA from a non-judicial state into a judicial state for foreclosures. Disaster.

Wherein Tom Day of Sungard drops out of hyperspace just long enough to write the following missive on the PRMIA DC web rant soapbox and get a few hours sleeep.  Ode to Frank Partnoy. --  Chris

And the real lesson, dear friends, is that the good old USA is a subprime nation

Do not trust any government. Nothing new here. This Greek government invoked the collective action clause (CAC). It retroactively inserted provisions in a debt contract and then imposed them.

The cash settlement world of OTC derivatives is not investing, but gaming.  And the House sets the rules. 

The Volcker Rule ignores the most basic and elementary facts about bank risk taking in the financial markets and must hurt overall liquidity among financial intermediaries and investors. 

Until the Congress rectifies the current bankruptcy laws and allows trustees to claw back payments made to secured lenders and other counterparties, there is no reason for any rational personal to allow a broker dealer to hold securities in custody.

Minxin Pei, the most original of current Sinologists, makes the point authoritarian/totalitarian regimes inherently prioritize requirements for protecting regime leaders over long-term national interest.

During my tenure as Fannie Mae’s senior vice president for marketing, I warned NPA that any effort by Fannie Mae to launch a massive national affordable housing program would be as disastrous for homebuyers and neighborhoods as FHA’s failed efforts were in the 1960s and 1970s. 

Had to cross post this discussion with my brother Michael Whalen from The Institutional Risk Analyst. The past articles in The IRA require a $99/yr subscription, but the most recent is free. 

Also note link to comment by Barry Ritholtz on The Big Picture re: the Facebook IPO.  Actually Goldman Sachs led the covert IPO and hype festival last year, but the folks at the SEC and FINRA were sound asleep.  

Chris

Isn’t it meaningless to look at the inverse floaters in isolation? To assess risk, shouldn’t we look at the entire portfolio held by Freddie Mac?

Not only is the large bank-GSE cartel preventing millions of Americans from refinancing, but these same cartel players are also thwarting Fed monetary policy and hurting all our economic prospects.

My favorite football introductory book is an out-of-print book by Joe Namath, FOOTBALL for Young Players and Parents.  You may enjoy my favorite lines as you get in the mood for the Super Bowl

This morning, NPR and ProPublica, began reporting on financial transactions at Freddie Mac that bet against homeowner refinancing with their portfolio.

Indeed,under US securities law and FINRA rules, it is unlawful and a violation of professional ethics for a registered person or investment advisor to guarantee investment results for any client.