More From the Papers…

October 1, 2009 by · Leave a Comment
Filed under: The Ratings System 

Re-Remic allows a security that has been downgraded to reflect is true economic value. Once again, we have allowed the accounting of assets to overwhelm the economics of owning an asset.
There are bonds that should never have been created, or securitized. There are also assets that are “toxic” only by the ratings designation.

Re-Remic will re-capitalize the banking system, without any taxpayer dollars by unlocking the economic value disguised by the rating.

Read the article below for background information:

Wall Street Wizardry Reworks MortgagesWall Street Journal, October 1, 2009

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