This firm was the second most admired securities firm behind Lehmann Brothers as recently as 2007 in Fortune magazines estimates. Today it will probably get sold or will declare bankruptcy.
Sort of shows the shallowness of Fortunes's analysis of the company when two of the judgement parameters were financial soundness and as long term investement value.
From Naked Capitalism I read that the Fed is lending USD 30 billion to prop the firm. How is it possible to trust the running of our world to this kind of setup? If your loans are small who cares but if you need 30 billion in loans then you are important enough to get help because if I don't help you there goes my economy. In other words inspite of being really irresponsible and greedy as long as you help mad capital churning of the economy, I need you to survive so that the unwashed don't get unhypnotised.
Subscribe to:
Post Comments (Atom)
Posts
No comments:
Post a Comment