“The structure is not much different from RTC “
Did that confer immunity as this does?
What about preventing new “toxic derivatives?”
What percent of equities are these mortgage securities?
“Did that confer immunity as this does?”
I dont know what that question means.
” What about preventing new “toxic derivatives?” “
The thing that made the derivatives ‘toxic’ was a lack of a market. It got illiquid. Wider credit spreads and regulation on how these are valued in equity/collateral valuations should discourage over-leverage in the future. It’s a great question though: It’s one thing to clean up this mess, but more important to prevent the next one.
“What percent of equities are these mortgage securities?”
Mortgage securities and equities are 2 separate asset classes.