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.
Pastimes : Clown-Free Zone... sorry, no clowns allowed
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Terry Maloney who wrote (423845)4/28/2013 7:33:57 PM
From: bruiser982 Recommendations  Read Replies (2) of 436258
 
At least watch part 3, starting at 6:25.

I had always thought that the banks loaned out depositors' money. Turns out the loan creates the money to buy the item that is collateral. The bank puts up zilch. If the borrower defaults, the bank owns the collateral. From money it created via the loan.

BlackRock, KKR, Goldman, and other banks are buying vast quantities of residential real estate. If they loan the money to an agent (maybe even to a subsidiary), they can create the money and not have to put up much capital of their own.

I wonder if they can do the same with stock?

I read the Rolling Stone article. It's posted on just about every thread I read.
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