Wait. Bank of America bought Merrill Lynch

[Recursion]

Forgive my ignorance on this:

Does this mean a retail bank with average John Q. Citizen account holders is now exposed to the risks of whatever wacky instruments Merrill happens to own? And that since Merrill's traditional bank accounts are FDIC insured I as a taxpayer am 100% on the hook for whatever happens now?

[YDogg]

1. not that I really know, but probably.

and the bank o' america ceo will probably rake in millions in bonuses this year, and next, and next, ...

[sandnsea]

2. Hold on to your hat, it's worse

They also made it so that banks can use depositor money to fund their investment losses, so not only is a commercial bank's profits at risk for an investment bank, but the BofA depositors' money is at risk. They were talking about doing that for a WaMu buy-out too.

Oh yeah, we're screwed 3 ways from Sunday.

[DJ13]

3. A financial monopoly

As the unfolding crisis points out, thats always a good thing........
:sarcasm: