Satyajit Das .....
Humor me. He’s saying that billions and billions in derivatives and similar exotics have to have something of worth underlying them. That they are derived from..... And that something is bundled home mortgages, bundled 2nd mortgages and I suppose some bundled commercial mortgages too
Lead article, front page of today’s MIAMI HERALD-—>>>
20% of all home mortgages taken out since 2005 in Broward and Dade are sub prime. Includes 2nd mortgages/home equity loans
If you haven’t already, I encourage you to read the entire article. This thing is much, much bigger than the mortgage meltdown. Derivatives have infested just about every aspect of the financial markets and now represent (according to Das) 802% of GLOBAL GDP. The sheer size of the financial tidal wave heading our way is unprecedented in both its size and scope. If this is truly the case, it’s time the average Joe began learning what he or she can do about it.