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gruffydd

Ello Ello Ello And What Do We Have Here Then...

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May 14 (Bloomberg) — "Standard & Poor’s cut to junk the ratings on certain securities, backed by U.S. mortgage bonds, that it granted AAA grades when they were created last year by Credit Suisse Group, Jefferies Group Inc. and Royal Bank of Scotland Group Plc.

The reductions were among downgrades to 308 classes of so- called re-remics, or re-securitizations, created from 2005 through 2009, the New York-based ratings company said today in a statement. About $150 million of the debt issued last year, as recently as July, with top rankings were lowered below investment grades . . ."

More than just a swift ratings cut — this was a downgrade of Re-Remics, or resecuritisation of real estate mortgage investment conduits — or recooked RMBS.

http://ftalphaville.ft.com/blog/2010/05/17/232386/testing-re-remics/

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Christ this means the taxpayer is on the hook if RBS gets sued over this then?

Welcome to the world of moral hazard.

King was shot down for raising the concept.

I suspect that history will be more kind to him than contemporary commentators have been.

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  • 276 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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