I didn't see anything in your link about "high risk".
You assert the FDIC charged it’s member banks so much in insurance deposit fees, the FDIC can absorb a 20x the US GDP bank failure?
20x US GDP is about $280 trillion. What bank failure would cost $280 trillion? Household net worth is much, much less than that. It's a ridiculous claim.
Again, a major bank brand, in a major financial sector city, on a Monday afternoon. A genuine laughing matter?
Yes, the confusion of your source is a laughing matter.
Very interesting reply.
Guess I must be such an idiot, it’s a wonder how I might climb into my shoes each day.
Thinking high risk; given derivatives, by nature and law, lack transparency, are complex, and loaded with risk. Hence the greater risk, the great opportunity for return upon investment. Credit markets routinely under price the risk.
So by my thinking, of course as a total idiot; derivatives mask third party credit risk, and unjustly enrich derivative counterparties selling such trash.
Crony capitalist financial reforms only reinforced special protection for derivative bundlers. Less disclosure. Greater access to sticking taxpayers with the bill when they make a bad risk assessment call. Of course, all from an idiot’s standpoint.
Guess math comes very easy because I’m an idiot. 312 million US residents. $77 Trillion worthless junk dumped on the marketplace if BOA fails. Quarter million dollar loss amortized per US resident. FDIC insures up to $250,000 per account. Overall median income for all 155 million persons over the age of 15 who worked with earnings in 2005 (last available statistics) was $28,567.
With all the honest snake oil salesmen out of work these days, seems they moved to derivative markets.
Wanna buy some derivatives? For $100 million in physical gold today, I’ll trade you $1 billion in financial instruments, payable in 2041.