Credit Default Swaps 60 Minutes (Finance)

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Uploaded by on Nov 4, 2009

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  • So does this mean that if Greece voluntarily defaulted (i don't think it willl besides the markets want it to) Deutsche Bank and few others would go bust? And if these have sold CDSs on Irish bonds it would drag Ireland into default or more capital injection from IMF and the EFSF? One thing they don't mention on the video is that you don't have to own the security to be able to buy a CDS. Like I could buy insurance on my neighbour's house..if the house burns, i get paid.

  • Until we get rid of Stock Options and implement term limitations on the hill nothing will ever change. The same things will continue to happen as they have for years. Those who can by influence on the hill will keep the ones they need in office long enough for them to benefit from their selfish and risk based initiatives that allow them to off set their risk just long enough for them to cash out rich while tax payers continue to make up for it year after year. Ask yourself what's changed?

  • how come the executives who set up this whole thing didn't know what would happen when even the trainee or anyone with any common sense did? the answer is obvious: because they DID know, but greed tend to compromise ppl's morals. in theory, ideally the executives should have their shareholder's interest in mind. realistically, they have their shareholder's short term interest in mind, b/c their bonuses depended on short term performances. and they would do anything to come up with those numbers

  • So we still in 2011 have a 60 trillion dollar unregulated market. Speculators get rich and countries suffer Unbelievable! End the derivaties trade, our gov. should make it illegal.

  • Let's not lose sight of the fact that in order for a credit default swap to pay off, and mortgage must default. Now do you think the nice men on Wall Street might have an interest in seeing the housing market collapse? Besides the trillions in profits, Real Estate was their only competition.

  • Republicons have no sense of patriotism take a buck from society any way you can get it. And swindling is their favorite way.

  • the greed and incompetance is even worse today !

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