Skip to comments.Obama angers hedge funds
Posted on 05/02/2009 5:17:14 AM PDT by libstripper
President Barack Obamas harsh attack on hedge funds he blamed for forcing Chrysler into bankruptcy this week sparked cries of protest from the secretive financial firms that hold about $1 billion of the automakers debt.
Hedge funds and investment managers were irate at Obamas description of them as speculators who were refusing to sacrifice like everyone else and who wanted to hold out for the prospect of an unjustified taxpayer-funded bailout.
Some of the characterizations that were used
to refer to us as speculators or to say were looking for a bailout is really unfair, said one executive who spoke on condition of anonymity because of the sensitivity of the matter. What were looking for is a reasonable payout on the value of the debt
more in line with what unions and Fiat were getting.
(Excerpt) Read more at chron.com ...
Chernobyl is a great example of what happens when the government runs...anything.
When will the ‘little guy’ realize he will be screwed eventually? So frustrating!
Not enough pie.
We need him to do more of this stuff because it's about time the rich people who support Democrats find out what's going to happen to them.
HOW DARE THEY CRITICIZE DEAR LEADER!!!!!
Perhaps, some people are finally reaching their limits obama.
Its not just the little guy; its the entire economy.
Bonds are absolutely essential to economic growth. Without bonds there is little or no investment. What Obama has done is to change the status, through government, coercion, of bondholders from ultra secured to essentially unsecured.
Why would anyone want to buy bonds in the future, knowing their status can be changed at the whim of the president.
Look for money to flow out of bond funds soon. Obama's reckless action will further tank the economy.
I'm sure they'll oblige. Sigh.
Meanwhile, while we're on the subject of hedge funds, on a related note....
Maybe the fools at the Washington compost read part of the rise and fall of Hitler? Scary parallels?
Go ZERO Go, Go ZERO Go, Go ZERO, Go, Go ZERO Go...
Who the HELL will stay in Bonds now?????
Meanwhile, Michelle My Belle wears 500 dollar sneakers! Way to sacrifice! Rules for thee but not for me, sayeth the dictator.
So NOW WHO in the HELL would buy these kind of Bonds???? NO ONE!!!
Note: Cerberus was the major investor in Chrysler. Cerberus was run by the billionaire reclusive Stephen A. Feinberg, a Democrat donor. Feinberg invested in many companies along with J. Ezra Merkin, the former head of GMAC. Merkin has been charged in the Bernie Madoff scandal. Coincidence after coincidence.
You might add that bonds are purchased because they are secure. A bond holder becomes a secured creditor just as a lien holder is a secured creditor.
You buy stocks on a bet but you buy bonds for security.
A bond hedge manager or any trustee who gives up that security is guilty of fiduciary mismanagement because he has willingly given away money which is not his but rather belongs to his investors and will no doubt suffer penalties.
Muni's are under a blanket Moody's warning. Treasuries, when do the Chinese pull that rug. Stocks? Look what we went through lst year, and now the attack on "capital", via bondholder at the end of the line. Banks, they have been "TARP-ed". What is left, CD's at Credit Unions?
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