Relevant and even prescient commentary on news, politics and the economy.

You searched for: label/AAA

Mike sends a response to rdan on off-label drugs

…unreasonable cases, but if it is reasonable that the off-label use of the drug might have caused the damage, then the encouraged off-label use would lead to an assumption of…

No one could have predicted

…quoted. From one sentence to the next “not many” becomes not “anyone.” Obviously there were people effectively shorting AAA CDOs by investing heavily in CDSs on AAA CDOs. One is…

WAPO on AIG III

…the world. That’s $ 6 billion in exposure per employee! Obviously AIGFP had decided that to write CDSs on AAA rated securities was to get money for nothing. They couldn’t…

WAPO on AIG

…there. An AAA rating is very valuable and any firm well into AAA territory has unused credibility which can be sold by borrowing at AAA rates and buying risky assets….

The Credit Rating Game

…in order to encourage financial innovation, can Serene’s profit by being tough ? Let me define tough. One of the traditional requirements for a AAA rating is a long history…

Why Tranche

…very irrational investor would think he was getting something for nothing by buying a high yielding AAA rated CDO and assuming that it is as safe as an AAA rated…