Untangling credit default swaps

[paulio2293]

man i wish he would stop drawing such elaborate fucking cartoons, he could condense the videos into half the time

[high5flyer]

Can you make an asset backed security from the premium of a credit default swap?

[mortucaddu]

Genius, i dont have any education in finance, i am not so good in english but you are very very clear. BRAVO. why teachers are not like you man.

can you please suggest any video finance course for beginners? I will be delighted for that.

thanks man.

[penfro]

Great explanation - thank you

[robrown1]

Raise capital, negotiate secondary trades of equity, debt, and other assets at UNIFIEDMARKETS.

[seanyb12345]

wtf he didnt throw his pen!

[Rotohel]

it is a swap. not insurance

[SuccessNOR123]

Very good video. I have an oral exam in business english coming up and this certainly helps!

[HellaRandomVideos]

paddy you forgot to say it so i'll say it for you. and because of that it "leaves all of us badly needing a drink"

[HongsiquanWingDing]

what about all the premiums paid/received??? Where did that money go?

[yankeefan42A]

It's all the demonrats fault. Social engineering by the Mac's destroyed us, and the Mac's were run by the demonrats! And you dopes voted BO in- well, just like in the movie Animal House- John Belushi says to Flounder who's brother's car was destroyed by them after he 'let' them borrow it- You Fucked up- You Trusted Us! Liberals are society's poison.

[4lafs]

The huge legal issue is why the CDS issuers were able to avoid regulatory requirements of an insurance company (reserves to cover loss, no conflict of interest).

So the financial playas pulled the huge wool over the greedy eyes of Wall and Main.

See you in court playas!!!

[dontbe]

Nice explanation.. but one more complication to the web is the first guy could resell or lend the 5mil because he no longer had the risk.. this could have gone in infinitely.

And that is why we need democrats to re regulate the corps that have shown they could not regulate themselves. :)

[shaftation]

i'm sam

[pakasson]

Good video

[SCOTTDAVIDSON32]

hahaha true but republicans are the same! the u.s. is over guys! the dollar is dead get ready

[lvecsey]

someone did a poor job computing riek

one day we might be able to look back and partially go 'fossil' hunting, with a computer generated visual of all the interlinks

good point about people betting on the counter party to accept a bad end of a deal

[Rival39]

well put

[profjen08]

The 20 year plan just came publicly to fruition today. We are now the United Slaves of the Federal Reserve.

[SCOTTDAVIDSON32]

we have been slaves now everyone will feel it!

[F00dTube]

SCOTTDAVIDSON32: Please explain how it is we have been slaves?

[SCOTTDAVIDSON32]

first the africans who were brought here was involuntary servitude Now, are you obliged to do as a police officer says? How bout a judge? IRS? If you can be commanded by someone else and will end up behind bars if you don't, are you not a slave? The funny thing is that we have agreed to be slaves! Googlevideo: robert menard and winston shrout I am learning how to become a free man once again let me know what you think

[tekmatic38]

listen you fucking african little shithead fucking pan african faggggot

I dont GIVE A FUCK what you ahve to say about slavery or any of that crap

we are richer and more free than we were 200 years ago and now we have a MUCH higher standard of living in america.

so SHUT THE FUCK UP with your dumb stupid FAGGOT litte nigger ass fucking faggot homo dickface ill fucking fuck slut wife you fuckin homo

[lorezapocalypse]

yawn, I'm sorry did you say something?

[wab122384]

search "funny baby confused" its cute you will love it

[UnconcernedCitizen]

Sleep it off.

[ny007ny]

Finally someone breaks this down to a level most people can understand. You would be surprised how many people have no idea whats going on out there. Confucious say , head in butt , lead to brown hair.

I caught a UFO on tape!! Don't be jealous , just click my name and watch the vid.

[projectdurden]

Good video, but you lost me with the Ferrari at the beginning. What does Ferrari have to do with the financial crisis?

[moonlight293]

it was to help with the insurance analogy :)

[SinniS321]

excellent video.

[BigO8872]

Thank you for that, It was very interesting and on a level where I could understand what was really happening. This web seems like an interesting phenomenon that will be restricted in some sense in the near future. I am not sure how the gambling on the system works though, it seems like you are just keeping the same value, unless you get to keep the collateral...

[11006479]

TRUTH

[Meathead36]

Very interesting, thank you. Sounds like a real house of cards.

[teleutube]

Even financial guru, Warren Buffett mentioned he couldn't understand this sh*t, five years ago...he called derivatives; financial WMDs...and directed the insurance arm of his Berkshire Hathaway Inc to exit the derivatives business

[teleutube]

"credit default swaps played a role in the fall of these financial giants.

AIG suffered $18 billion of losses tied to guarantees it wrote on mortgage-linked derivatives in the last three quarters.

Its struggles intensified in recent weeks as losses in its own investments led to cuts in its credit ratings. Those cuts triggered clauses in the policies AIG had written that forced it to put up billions of dollars in extra collateral -- billions it did not have and could not raise"

[Zile77]

Democraps caused the mortgage and credit mess by FORCING banks to give out loans to unqualified applicants! That's the whole problemo in a nut shell. Gay-ass Blarney Frank should be hanged for it!

[Jbru456]

yea watever republicans are cowards cant even own up to there mistakes, and dumb only a repblican would have a vice president who dosent even no how to put a sentence together and you wanted her to ruin the country just like bush>

[nevous8]

wasn't forced stfu.

[ltfragz]

i'll second that ^_^

[jallenneal]

The problem with CDF wasn't mentioned until the 9th minute of this video. Our problem is because insiders in the know took out CDF's on securities they didn't even own as a gamble with a good expectation that they would fail. A good analogy would be taking out life insurance on your neighbor when you know he has terminal cancer.

The way out is to void all CDF's that the owner of cannot prove an interest in the security being insured. Only paying if the owner of the CDF has an actual loss.

.

[spartin]

"Their capitalist ways of giving Wall Street all the tax breaks" That is socialism in other words what librals want to turn america into. And this all started when Bill Clinton was in office. He signed a bill reducing the req. credit score down so the poor can get loans for homes. Which backfired and millions are defaulting now.

[thomaserossi]

I was hoping for information that wasn't available decades ago. Iceland bet their entire country's fortune and lost. It was a known risk then, but progressive and aggressive policies have always attracted the impatient. Yeah Clinton!

[batgirl791]

very informative, thanks.

[magablimp]

CDO/AAA= -A, -B, D+

[Rikohness]

THANK YOU!! oh my gosh

[blablablatube]

they don't want to accept such a simple and embarrassing truth Obama gets his cake and eats ours too!

[blablablatube]

this is hard for you isn't it?

Obama did an inside job. Do you still have yours?

You made another bad decision.............

[WeylandYutaniInc]

more like A.I.Pussy! Lehman Brothers should of be saved & let GM motors collapse!

[indabushwoman]

EAT THE RICH!

[blablablatube]

Untill you are one of them then diet right?

[indabushwoman]

As long as 1% of the population control more than 50% of the wealth the world economy will continue to be f#%@ed.

[blablablatube]

There will always be rich and poor I just like having the option. People are lazy and ambitious. That how it is.

[vbmbs]

The real cause underlying this was the fact that we required banks to loan money to people who could not afford the home they were buying simply because they were a miniority. It started in 1977 with Community Reinvestment Act and then further strengthened in 1992. Thus banks were overly regulated to the extent that they could not use sound banking practices normally used in evaluating credit for home purchases.

[CutTheBSMovieReview]

Thanks for this video. I was having real trouble getting my head around the cause of this financial crisis, but you've spelled it out very nicely. I'll probably have to watch it again to help retain some of the info (I'm a little slow) but it's been a huge help. Thanks again.

[BigOleBill]

THE INTERNET IS THE GREAT

[jbryant13]

Let me save you 11 minutes - Wall Street is a casino and the house always wins.

[semiliteratedgod]

Sam should have bought a Corvette from GM instead!

Fucking greedy, selfish, banker scumbags

[FreeCapital]

pretty good stuff. thanks

[WilliamStoneman]

Very nicely explained indeed.

[Whoogle]

This has a lot of important information. we should spread the word about the info expressed in this video.

[sheikhsk]

yea.. and with all those companies going bust malangope, thousands if not milions people would lose their jobs, meaning they would have no income to repay their mortages, their homes would be repossed and put on sale increasing the supply again and pushing the prices of homes down even further..and then it'd be really bad man!

[malangope]

Then let the companys that made these foolish contracts go down with them and don't bail them out with the tax payers money.