Comments on: Links 9/15/08 http://www.nakedcapitalism.com/2008/09/links-91508.html Mon, 23 Nov 2009 00:03:24 -0500 http://wordpress.org/?v=2.8.4 hourly 1 By: doc holiday http://www.nakedcapitalism.com/2008/09/links-91508.html#comment-15347 doc holiday Mon, 15 Sep 2008 16:00:00 +0000 http://www.nakedcapitalism.com/2008/09/links-91508/#comment-15347 Financial cannibalism has to do with the process of one bank eating another bank, i.e, this gruesome event is a means by which the expression of naked power over a weaker victim is exercised.<br/><br/>IMHO, banks that thrive on this type of diet will experience symptoms related to Mad Cow, a fatal, neurodegenerative disease transmitted to human beings who eat the brain or spinal cord of infected carcasses.<br/><br/>As a tip, banks that have been exposed to fraud or in cases where you lack due diligence to help understand the condition of your speculative victim, wash your hands, fully cook your bank and don't talk while eating. Financial cannibalism has to do with the process of one bank eating another bank, i.e, this gruesome event is a means by which the expression of naked power over a weaker victim is exercised.

IMHO, banks that thrive on this type of diet will experience symptoms related to Mad Cow, a fatal, neurodegenerative disease transmitted to human beings who eat the brain or spinal cord of infected carcasses.

As a tip, banks that have been exposed to fraud or in cases where you lack due diligence to help understand the condition of your speculative victim, wash your hands, fully cook your bank and don’t talk while eating.

]]> By: depresso http://www.nakedcapitalism.com/2008/09/links-91508.html#comment-15303 depresso Mon, 15 Sep 2008 07:48:00 +0000 http://www.nakedcapitalism.com/2008/09/links-91508/#comment-15303 About equities as collateral:<br/><br/>1) <a HREF="http://www.federalreserve.gov/newsevents/press/monetary/20080914a.htm" REL="nofollow"> Fed says:</a><br/>The collateral eligible to be pledged at the Primary Dealer Credit Facility (PDCF) has been broadened to closely match the types of collateral that can be pledged in the tri-party repo systems of the two major clearing banks. Previously, PDCF collateral had been limited to investment-grade debt securities.<br/><br/>2) <a HREF="http://en.wikipedia.org/wiki/Repurchase_agreement#Equity_repo" REL="nofollow">Wikipedia says</a>: <b>Equity repo</b><br/>The underlying security for most repo transactions is in the form of government or corporate bonds. Equity repos are simply repos on equity securities such as common (or ordinary) shares. Some complications can arise because of greater complexity in the tax rules for dividends as opposed to coupons. About equities as collateral:

1) Fed says:
The collateral eligible to be pledged at the Primary Dealer Credit Facility (PDCF) has been broadened to closely match the types of collateral that can be pledged in the tri-party repo systems of the two major clearing banks. Previously, PDCF collateral had been limited to investment-grade debt securities.

2) Wikipedia says: Equity repo
The underlying security for most repo transactions is in the form of government or corporate bonds. Equity repos are simply repos on equity securities such as common (or ordinary) shares. Some complications can arise because of greater complexity in the tax rules for dividends as opposed to coupons.

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