Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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.

Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: stockman_scott who wrote (190010)	3/11/2009 8:46:17 AM
From: Bank Holding Company	Respond to of 306849

>> U.S. May Use Capital Injections to Help Banks Sell ‘Bad’ Assets << Citi is so profitable they don't need that junk.

To: stockman_scott who wrote (190010)	3/11/2009 9:17:32 AM
From: James Hutton	Respond to of 306849

"Private investors would get government financing, perhaps through a program similar to the Federal Reserve’s Term Asset- Backed Securities Loan Facility, that would let them leverage their money at least two or three times, the people said. The leverage increases the potential rewards while reducing the risk, allowing investors to pay a higher price for the toxic assets. The government, in turn, could inject more bailout funds into the banks to help replenish their capital and acknowledge losses." I don't think people understand the TALF. If they did, people would be more upset. After touting it for months, I actually heard someone on CNBC yesterday almost shocked that the loans were to be non-recourse. Perhaps they finally looked up the term on Wikipedia.

To: stockman_scott who wrote (190010)	3/11/2009 4:00:54 PM
From: geode00	Read Replies (1) \| Respond to of 306849

I heard that as well and, it seems to me, that we are still pleading for people to take big rewards at taxpayer expense. What? We guarantee everything for the idiots in the financial system so that they will pretty please put their money into something other than treasuries because, you know, we are making higher yielding 'investments' as safe as, you know, treasuries. Is this his big blooming idea? Pillage the treasury to within an inch of its life and let the same idiots who got us into this mess salivate at the idea of risk-free high-yield investments? What?