Information about finance, the economy and business. Entertaining and informative. Seeking Alpha Certified Mark Sunshine Chairman & CEO

Category Archive: Credit Default Swaps

  1. It’s Not Too Late For Congress To Fix The Derivatives Market

    The finan­cial reform leg­is­la­tion that passed the House last week doesn’t fix the deriv­a­tives mar­ket but there is still time to make it right. The Sen­ate hasn’t passed its ver­sion of the bill and all Sen­a­tors need to do is include a pro­vi­sion stop­ping the Fed­eral gov­ern­ment from pre­vent­ing enforce­ment of state and local crim­i­nal […] [read full story]

    Posted in: BANKS, Credit Crisis, Credit Default Swaps, economy, Finance, Politics, Public Policy, REGULATION, Regulatory Reform
  2. Who Owns The Derivatives Market –Industry Concentration Takes On A New Meaning

    The entire debate about the reg­u­la­tion of deriv­a­tives con­tracts takes on a new mean­ing in light of the OCC’s Quar­terly Report on Bank Trad­ing and Deriv­a­tives Activ­i­ties, Sec­ond Quar­ter 2009. The OCC (Office of the Comp­trol­ler of the Cur­rency) pub­lishes all sorts of inter­est­ing reports and hand­books that are largely over­looked by the media. And, the Deriv­a­tives Report is one of those OCC reports that almost no one seems to look at or care about. [read full story]

    Posted in: BANKS, Credit Crisis, Credit Default Swaps, Economic Statistics, Finance, Politics, Public Policy, REGULATION, Regulatory Reform
  3. SEC Declares War On Capital Market’s Criminals" rel="bookmark">The SEC Declares War On Capital Market’s Criminals

    It didn’t take long for the “new SEC” to begin enforc­ing the law and declar­ing war on white col­lar crim­i­nals that have preyed on the cap­i­tal mar­kets. A cou­ple of weeks ago the SEC filed an insider trad­ing civil suit against two for­mer traders in con­nec­tion with trad­ing in credit default swaps using insider infor­ma­tion […] [read full story]

    Posted in: Cox, Credit Default Swaps, economy, Finance, Mary Schapiro, Public Policy, REGULATION, Regulatory Reform, SEC
  4. AIG’s Mistakes!!!" rel="bookmark">Credit Default Swaps Are Good For Whom? Not Taxpayers Who Are Paying For AIG’s Mistakes!!!

    After today’s AIG news I am amazed that the Obama Admin­is­tra­tion hasn’t announced an imme­di­ate sus­pen­sion of the sale of new credit default swaps. Per­haps it will take a total melt­down of the finan­cial sys­tem for the gov­ern­ment to finally admit that War­ren Buf­fet was right, credit default swaps are weapons of finan­cial mass destruc­tion. […] [read full story]

    Posted in: AIG, Credit Default Swaps, Economic Statistics, economy, Finance
  5. Financial Crisis and Reform – A Guest Blog By Marshall Sonenshine

    About a month ago Mar­shall Sonen­shine deliv­ered pre­pared remarks at the Har­vard Law School Lead­er­ship Con­fer­ence. Below are excerpts of Marshall’s words, all of which I agree with and believe deserve a wide audi­ence and dis­cus­sion. As an intro­duc­tion to Marshall’s text and so every­one has full trans­parency and dis­clo­sure, I think it is impor­tant […] [read full story]

    Posted in: BANKS, Credit Crisis, Credit Default Swaps, economy, Finance, Marshall Sonenshine, Politics, Public Policy, REGULATION, Regulatory Reform
  6. “Stupid is as stupid does” — the SEC and CFTC legalize electronic gambling" rel="bookmark">Stupid is as stupid does” — the SEC and CFTC legalize electronic gambling

    For­est Gump said “stu­pid is as stu­pid does” and the lat­est move by the SEC and CFTC to license clear­ing­houses for credit default swaps is about as stu­pid as it comes. Rather than ques­tion­ing the under­ly­ing eco­nomic ratio­nal and legal­ity of credit default swaps, the SEC and CFTC have decided to facil­i­tate the pro­lif­er­a­tion of […] [read full story]

    Posted in: CFTC, Credit Default Swaps, economy, Finance, Public Policy, REGULATION, SEC
  7. A Letter To President Elect Obama – How to restore confidence

    Dear Pres­i­dent Elect Obama: As you get closer to inau­gu­ra­tion I would like to make a few sug­ges­tions for your admin­is­tra­tion and its future eco­nomic pol­icy. Every­one knows that the econ­omy is in trou­ble and con­fi­dence in the future is low. Con­fi­dence in the United States eco­nomic sys­tem and gov­ern­ment is our nation’s most impor­tant asset. Unfor­tu­nately, […] [read full story]

    Posted in: Accounting, BANKS, Confidence, Credit Crisis, Credit Default Swaps, Deflation, economy, Fannie Mae, FAS 140, FASB, Finance, Fiscal Policy, Freddie Mac, Mark to market accounting, Obama, Politics, Public Policy, Regulatory Reform, SEC, Securitization
  8. Credit Default Swaps Are Going To Annihilate Main Street

    War­ren Buf­fet called credit default swaps “weapons of finan­cial mass destruc­tion” and they are about to anni­hi­late Main Street.  In a dis­turb­ing new trend, money cen­ter banks are “weaponiz­ing” credit default swaps (“CDS”) by using the trad­ing price of a borrower’s CDS to adjust the borrower’s inter­est rate.  Unfor­tu­nately, banks don’t under­stand that they are […] [read full story]

    Posted in: BANKS, Credit Crisis, Credit Default Swaps, Finance, Wall Street Journal