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 : Dividend investing for retirement -- Ignore unavailable to you. Want to Upgrade?

To: Paul Senior who wrote (6991)	12/30/2010 5:08:01 AM
From: Elroy	Read Replies (1) \| Respond to of 34328

Yeah, that is a bit much to wage through. How about, what's the worst case scenario for them? Lets say overnight one month rates go to 4% and the two year loana that they've bought stay at 1.7%. Then they can't borrow anymore to buy loans. So......what would happen? Would they go bankrupt, or would they have to wait until their two year loans are paid to initiate new positions after the get the principal from those loans repaid?