SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Politics : American Presidential Politics and foreign affairs
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: TimF who wrote (29742)10/3/2008 5:36:56 PM
From: DuckTapeSunroof  Read Replies (1) of 71588
 
Re: "real estate problems are not limited to the US."

Never said that they were (although it's true that the largest of those problems right now are in the US... not in Asia, or Canada, or South America, or Africa for example....)

But the "financial timebomb" that Warren Buffett and Soros starting warning about four or five years ago, (the "weapon of mass financial destruction" in the memorable phrase Buffett mailed out to his shareholders in his annual report the year he severed all ties to these products), was UNREGULATED FINANCIAL DERIVATIVES and the counter-party risk that they are inevitably entangled to --- of which 'sub-prime securitizations' are but a sub-sector.

It was not the temporary bubble in real estate values that they warned about (bubbles come, bubbles go, in the ordinary course of events)... but rather the SYSTEMIC RISK to the world's financial systems that the explosion in unregulated derivatives posed.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News