Earlier inward the calendar week Standard & Poors announced that they volition live on analyzing together with reporting on the potential losses to come upwards on existing mortgage backed bonds together with securities. You may non live on surprised to need heed that the Bond Rating manufacture together with the firms it is composed of induce got caught unopen to serious rut for doing to a greater extent than together with then but beingness inaccurate. S&P besides every bit all other major bond rating industries induce got been defendant past times many to induce got unopen to faulty work organisation together with compensation models.
The work is pretty lead forward. These firms are paid past times issuers of securities to charge per unit of measurement securities issued past times these same issuers. It does non induce got rocket scientific discipline to deduce the potential pitfalls of this model. These speculative potential problems are no longer speculative. This has been the catalyst for some... do-overs announced past times all the major rating agencies.
Standard & Poors volition postal service the reports costless to all on their website together with volition sell to a greater extent than inward depth analysis for a fee. It volition live on interesting to run across the aggregate results together with the influence it volition induce got on the markets. I intend an interesting together with possibly an ironic final result of the rating manufacture mess is that these upwards coming forecasts volition arguably live on biased on the conservative side of things. This of course of study is solely my ain speculation but it makes bully sense. Just imagine the mess they would live on inward if they over estimate!
The work is pretty lead forward. These firms are paid past times issuers of securities to charge per unit of measurement securities issued past times these same issuers. It does non induce got rocket scientific discipline to deduce the potential pitfalls of this model. These speculative potential problems are no longer speculative. This has been the catalyst for some... do-overs announced past times all the major rating agencies.
Standard & Poors volition postal service the reports costless to all on their website together with volition sell to a greater extent than inward depth analysis for a fee. It volition live on interesting to run across the aggregate results together with the influence it volition induce got on the markets. I intend an interesting together with possibly an ironic final result of the rating manufacture mess is that these upwards coming forecasts volition arguably live on biased on the conservative side of things. This of course of study is solely my ain speculation but it makes bully sense. Just imagine the mess they would live on inward if they over estimate!
