Wish i had $44 trillion

Pah, we had notes worth 100 trillion... Reichsmark. >> ^Sepacore:

Wish i had $44 trillion

But how much of it is hedged?

If we learned anything from AIG, the answer is probably so much in overleveraged securities and credit default swaps it doesn't matter.

>> ^lampishthing:

But how much of it is hedged?

Maybe. I'd nonetheless like to see a breakdown before freaking out about it. Maybe they're all interest rate swaps and the 44 trillion is counting notionals. Saying 44 trillion without further details doesn't really mean that much and TYT are just being reactionary about a large number.>> ^heropsycho:

If we learned anything from AIG, the answer is probably so much in overleveraged securities and credit default swaps it doesn't matter.
>> ^lampishthing:
But how much of it is hedged?

I agree to some degree with that. TYT are blowhards. That's sorta the problem with the financial meltdown. Now everyone is looking at the financial system and making prescriptions on how to fix it, even those who don't understand the system.

>> ^lampishthing:

Maybe. I'd nonetheless like to see a breakdown before freaking out about it. Maybe they're all interest rate swaps and the 44 trillion is counting notionals. Saying 44 trillion without further details doesn't really mean that much and TYT are just being reactionary about a large number.>> ^heropsycho:
If we learned anything from AIG, the answer is probably so much in overleveraged securities and credit default swaps it doesn't matter.
>> ^lampishthing:
But how much of it is hedged?

Can you really understand the financial system? I mean the people playing and losing in it never seemed to quite understand it.

More and more I hear about it, I tend to believe the financial system behaves however makes them as much money as possible until it doesn't. And they may know it for the period of which they exploited it, but when it changes from the known to the unknown is what's concerning to everyone else. Too much relies on financial stuff, but financial stuff is all numbers in the nebulous environment until you can cash them out for stuff you can put your hands.

It seems to have a lot in common with online gaming, while you control what happens to your "stuff", you don't really ever own it until you can bring it into the "real world" via cashout or whatever.