To: CutePuppy
A CDS is essentially a bet, just like betting on horses or pro-hockey and should be treated like betting regulatory-wise. If you buy or take out a CDS on a mortage you actually OWN, then it could be considered an insurance. Once you start taking out swaps on stuff someone else owns, it’s not a financial instrument any longer.
To: SwedishConservative
CDS’s sound like taking out a life insurance policy on your wife and then loosening the brake lines on her car.
10 posted on
11/16/2008 2:33:44 PM PST by
seowulf
(Discipline knows no emotion and frequently runs counter to the whims of panic or elation.)
To: SwedishConservative
A CDS is essentially a bet, just like betting on horses or pro-hockey and should be treated like betting regulatory-wise. If you buy or take out a CDS on a mortage you actually OWN, then it could be considered an insurance. Once you start taking out swaps on stuff someone else owns, it’s not a financial instrument any longer. True and the results of the meeting of the G-20 was that these will be regulated. Since they are not worth spit. I would say ending them would be the best. I think that what will be the outcome from the democrats.
14 posted on
11/16/2008 3:14:05 PM PST by
org.whodat
(Conservatives don't vote for Bailouts! Republicans do!)
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson