The following quotes are attributed to Agora Financial’s Dan Amoss, CFA on today’s issue of "The Five Minute Forecast" e-newsletter.
"Large pension fund managers working for those with the least to lose tend to be the biggest patsies when it comes to misguided investments. The speculation du jour is called a CDO, which stands for collateralized debt obligation.”
“The patsies, expecting they’ll get 20% annual returns with no risk, have been buying the riskiest tranches — the ones that will absorb the first wave of defaults when they inevitably occur,”
“Putting lipstick on this pig may seem like a savvy way to generate profits for the likes of Bear Stearns, but it strikes me as dishonesty, not beauty. Angry politicians will know where to look when it comes time to look for scapegoats.”
Hmm, comforting thought to those seeking long term finanicial security. A structured settlement, deferred income annuity or structured sale annuity offers easy to understand guarantees, without the spin du jour and without having to resort to "rouging up" farm animals.
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