chagrinned1

Time to Exempt Mortgage Securities from Mark-to-Market Rules

Some of the readers do not understand your analysis, but I do and you are absolutely correct. The Financials will have a boom once this cyclone turns and values return. So, now they write off absurd sums to mark to absurd market; tomorrow they raise the values and their earnings marking value to tomorrow's market. I thought about this after first quarter earns were publicised. It will happen and it is absurd.
While there are few experts in the future, most Fin'l execs have seen this happen before and have some idea of what the asset will be worth after this time of distress. Their SWAG
(scientific wild ass guess) will be reviewed by the Acct Firm and modified or not based on judgement. This has been done well by Private Equity Firms in the past. Checks and Balances "may" be necessary to ensure honesty. Rick

Greenlight Puts Red Light on Financials - Fast Money Recap (5/23/08)

David Einhorn sure gets the media attention he does not deserve. He is an inverate short seller who truly believes he can talk down the prices of his short sale holdings and thereby profit. Must you folk be the tools he uses to do this???