The Israel Deception

Is the return of Israel in the 20th century truly a work of God, or is it a result of a cosmic chess move to deceive the elect by the adversary?

Showing posts with label toxic assets. Show all posts
Showing posts with label toxic assets. Show all posts

Wednesday, February 4, 2015

Son in law of Bill Clinton loses hundreds of millions betting on toxic assets

As the financial world turns its head away from Russia for awhile to look once again at the revolving debt door that is Greece, one interesting fund manager has now made the same mistakes as the former CEO of MF Global John Corzine did a few years back by betting on Greek toxic debt and paying the price for the risk folly.  On Feb. 3 it was announced that Marc Mezvinsky, the husband of Chelsea Clinton and son-in-law of former President Bill Clinton, lost around 48% of the $400 million hedge fund he managed with Eaglevale Partners.  In addition, the fund was co-managed by two Goldman Sachs bankers who like their parent employer, have a long track record of risky speculations that lose a lot of money for their clients.



Read more on this article here...

Monday, April 29, 2013

Growing student loan defaults forces Sallie Mae to retract selling bonds

On April 29, Sallie Mae, the nation's largest student loan organization, was forced to pull back a bond offering of $225 million as investors refused interest in the lender due to the growing number of defaults taking place across the country.



Student-loan company Sallie Mae SLM -1.35% canceled a $225 million bond offering on Thursday after about two weeks on the market, according to people familiar with the deal. The move may mark a line in the sand: Investors whose thirst for yield has revived all manner of riskier asset classes decided they weren't getting paid enough to buy at the offered price amid rising student-loan defaults.

In the case of the canceled Sallie Mae offering, rising defaults could have crimped the cash flow of the federally backed loans supporting the new securities, because more defaults would mean less excess, or residual, income after holders of the original loans were paid. - Wall Street Journal

Even as central banks in Europe and the U.S. are willing to buy toxic assets like mortgage backed securities, which carry a risk threashold well above that of student loans, it appears the rubicon has been crossed by investors who no longer want to be fooled by the bubbles free money printing and quantitative easing provide, in an economy that is declining.