Comments on: $62 Trillion in Credit Default Swaps Is a Ticking Bomb http://www.contrarianprofits.com/articles/beware-the-62-trillion-cds-time-bomb/5574 Access market-beating ideas from the world's top investment gurus on stock market investing, the gold market, ETFs, Forex trading and real estate values. Tue, 24 Nov 2009 15:08:08 -0500 http://wordpress.org/?v=2.8.5 hourly 1 By: Stone Frederick http://www.contrarianprofits.com/articles/beware-the-62-trillion-cds-time-bomb/5574/comment-page-1#comment-22782 Stone Frederick Sun, 22 Mar 2009 18:51:46 +0000 http://www.contrarianprofits.com/articles/beware-the-62-trillion-cds-time-bomb/5574#comment-22782 When a business fails, it fails and it's bad debt, sorry "toxic"debt stays with the failing business or bank. The money spent on bail out and bonusses, could have gone into a "Federal Guarantee Fund". It would have a far greater net result and greater impact on the economy, because it does not first have to pay off bad debt. The real question is, is nobody going to try and get the missing funds back? Under present US law, any payment for the preceding six years can be claimed back by liquidators? Just consider, Obama says he is outraged about the AIG bonusses, but he is not outraged about the fact that his staff approved the bonusses? Stone. When a business fails, it fails and it's bad debt, sorry "toxic"debt stays with the failing business or bank. The money spent on bail out and bonusses, could have gone into a "Federal Guarantee Fund". It would have a far greater net result and greater impact on the economy, because it does not first have to pay off bad debt. The real question is, is nobody going to try and get the missing funds back? Under present US law, any payment for the preceding six years can be claimed back by liquidators? Just consider, Obama says he is outraged about the AIG bonusses, but he is not outraged about the fact that his staff approved the bonusses? Stone.

]]> By: Jon http://www.contrarianprofits.com/articles/beware-the-62-trillion-cds-time-bomb/5574/comment-page-1#comment-4518 Jon Fri, 26 Sep 2008 22:45:36 +0000 http://www.contrarianprofits.com/articles/beware-the-62-trillion-cds-time-bomb/5574#comment-4518 If you take out insurance on my beach house, you're a pure speculator and you deserve to lose the money you invested in the policy. If the government has to bail this mess out too, the first thing to get thrown out should be all the speculative "insurance policies". If you don't own the actual bond that needs to be insured by the CDS, you don't get paid. A CDS for a bond that you don't own is nothing but a pure gamble that adds nothing constructive to the economy. Last I checked, if a bet isn't made in Vegas, it's illegal. They deserve to lose their money, not to get bailed out by US taxpayers. If you take out insurance on my beach house, you’re a pure speculator and you deserve to lose the money you invested in the policy. If the government has to bail this mess out too, the first thing to get thrown out should be all the speculative “insurance policies”. If you don’t own the actual bond that needs to be insured by the CDS, you don’t get paid.

A CDS for a bond that you don’t own is nothing but a pure gamble that adds nothing constructive to the economy. Last I checked, if a bet isn’t made in Vegas, it’s illegal. They deserve to lose their money, not to get bailed out by US taxpayers.

]]> By: Brian http://www.contrarianprofits.com/articles/beware-the-62-trillion-cds-time-bomb/5574/comment-page-1#comment-4183 Brian Sat, 20 Sep 2008 03:09:17 +0000 http://www.contrarianprofits.com/articles/beware-the-62-trillion-cds-time-bomb/5574#comment-4183 The best thing we could have done is let every one of them collapse. At least it all would be done and over with. Delaying it all and becoming socialists in the process is an insult to the American way of life. Free markets are the only way to do business. These people didn't have a problem profiting off the system. They also shouldn't have a problem losing everything because of it. They gambled. Gamblers don't deserve a bailout. How many Trillions of dollars of debt do we have to accrue before the United States is finished? The best thing we could have done is let every one of them collapse. At least it all would be done and over with. Delaying it all and becoming socialists in the process is an insult to the American way of life. Free markets are the only way to do business. These people didn’t have a problem profiting off the system. They also shouldn’t have a problem losing everything because of it. They gambled. Gamblers don’t deserve a bailout.

How many Trillions of dollars of debt do we have to accrue before the United States is finished?

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