Thread: O/T Is this true?
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[email protected] thunder@TAKEOUTgti.net is offline
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First recorded activity by BoatBanter: Nov 2007
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Default O/T Is this true?
On Thu, 09 Oct 2008 13:51:07 -0500, Dave wrote:

On Thu, 09 Oct 2008 13:26:02 -0500, said:

Really? Please quote the clause in the Community Reinvestment Act that
told investment banks to leverage their position in subprime CD0s to
suicidal heights. This mess isn't because of the CRA, it's because of
greed, and Wall Street group-think. Subprime mortgage defaults are only
the visible cause. A healthy bank can withstand a 25% default rate in
the subprime sector, leverage that risk to 33-1, as one bank did, and
it's bye-bye. Greed and bad business practices brought on this mess.

I think you'd best go take a nap while those who know something about
the topic have this discussion.

Like the management of Bear Stearns, Merrill Lynch, Lehman Brothers, AIG?