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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: PaperChase who wrote (34153)	10/19/1998 10:36:00 AM
From: Knighty Tin	Read Replies (2) \| Respond to of 132070

PC, I credit the bank statements about full collateralization the same way I credit Japanese statements that their intent in 1945 was to sucker the allies into invading Japan, where they would be crushed. -g- There is no way those loans are fully collateralized. The reason hedge funds get loans is for leverage. You cannot leverage if you are fully collateralized. When LTC had $100 billion in investments on $2 billion in capital, there is no way those loans could be collateralized. Perhaps the term fully margined would be better, as bonds and currencies and futures can be held at very low margin. MB