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Strategies & Market Trends : The coming US dollar crisis -- Ignore unavailable to you. Want to Upgrade?

To: Real Man who wrote (17024)	1/30/2009 6:51:53 PM
From: RockyBalboa	Read Replies (1) \| Respond to of 71442

I think the problem is well understood by at least some of bamas ministers and advisors (Volcker, Geithner, Summers to name a few)... well there´s the twist; people who understand the business are often contaminated by its bad influence and hence no longer neutral. At this time it would be pretty easy to implement some rules which do not require much know how. Such as: There shall be a hefty stamp tax on entering a credit insurance (or Swap, or credit linked obligation). QUALIFIED BUYERS: The buyer has to demonstrate a viable economic interest in entering such a transaction. Such as having investments and loans in affected companies, a long term significant vendor relationship and the likes. *QUALIFIED SELLERS: The seller has to demonstrate adequate capital of like, two to three times the basle II accord; have a registration with the SEC or as a bank; file quartely capital adequacy reports and have annual audits by a regulator. There can be some alleviations (lower capital requirements and purpose checks) for Credit Index Derivatives, if the underlying index is approved and adequately diversified; to prevent circumvention by proliferation of pseudo indices...