Posted on 05/30/2023 3:34:26 PM PDT by nickcarraway
A “Big Short” investor who predicted the 2008 housing crisis fears history could repeat itself because the mortgage market is underestimating the systemic risk posed by flooding.
Dave Burt, CEO of investment research company DeltaTerra Capital, made millions off the subprime mortgage crisis while working for New York-based Cornwall Capital.
Cornwall’s success was later profiled in Michael Lewis’ bestselling book “The Big Short,” which detailed the lead-up to the 2008 economic collapse.
(Excerpt) Read more at nypost.com ...
bkmk
“Homes wrecked by a flood become worth dramatically less than before the climate crisis,”
uh, yeah, right ... widespread national Noah Arkesque flooding ... because CLIMATE CRISIS ...
yep, good ol’ CLIMATE CRISIS “flooding” is gonna be JUST LIKE the subprime mortgage fiasco that collapsed the economy as a result of crooked appraisers, crooked bankers, crooked federal mortgage insurance, and crooked mortgage lenders who lent trillions on criminally overvalued houses to hundreds of thousands of folks who had zero possibility of ever paying off the loans ...
i don’t think even the uber-marxist “Business Insider” could come up with something that nonsensical ...
Flooding? Whew. I thought he might be onto something solid.
So, what did he predict that he got wrong?
This guy is supposed to be smart?
The FEMA/NFIP program for what is called “flood insurance” is nothing more than an agreement for the federal government to cover flood “losses”. It is not and never has been real insurance and is not sound from an actuarial standpoint.
Whenever there is a catastrophic event and the program runs out of money Congress dumps in more from the general treasury. This has happened many times over the years.
In the even there are more cat losses from floods and the program runs out of money Congress will just borrow more money and support the losses. Why? Because they are the same idiots who put us trillions in debt. They could care less about the finances of this country and are totally focused on getting Pelosi/Clinton/Obama/McCarthy rich.
We would have been better off taking the “money” sent to Ukraine to line our own politicians pockets and just giving it directly to the House & Senate member in exchange for them going home for 20 years.
A guy who was smart enough to game the system (more than once, it should be noted) made a lot of money doing just that.
I would suggest that he is leveraging his prior success and fame to do it again.
IOW - be suspicious of his “generosity”.
I don’t think you have to be a genius to predict financial disaster coming our way. 😆
It’s like predicting that the Oakland A’s are not going to win this year’s World Series.
😅
[I don’t think you have to be a genius to predict financial disaster coming our way. 😆]
That’s for certain. Unfortunately.
BidenDepression 2023 (may only be just the beginning)
Hey, the A’s can tie the single season record of 116 wins in a season if they go 107-0 the rest of the way!
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