Fuckin' A: Obama Subsidies For Hedge Funds

[MannyGoldstein]

From the NY Times:

"The administration hopes to encourage new lending by providing low-cost loans and guarantees to hedge funds and private equity firms that buy securities backed by consumer and business loans."
http://www.nytimes.com/2009/02/20/business/20lend.html?hp

Please tell me that I'm dreaming.

Please.

I elected a Democratic administration to give subsidies to hedge funds and private equity firms? So they can buy some credit card debt and sodomize even more people?

Sweet Jesus, the Fundies are right: these are truly the End Times.

[Nikki Stone1]

1. In the end, the same forces want their sop, regardless of the President or his party.

We are so screwed it isn't even funny.

Or maybe, screwn. :)

[bertman]

18. "Screwn" is correct. Pastplufuckingperfect, I believe is the tense.

[CountAllVotes]

2. they are corrupt crooks

soon everyone will figure this out.

We're being screwed out of every last cent to be found as I type by these corrupt SOBs!

May they all rot in hell!

:kick:

[upi402]

3. Change we can believe in

and spare change we can hope for

[marketcrazy1]

4. its even worse

they plan to allow these firms to leverage their NON RECOURSE loans by up to 16 to 1!!! and guaranty ALL the losses...... how do you like that shit!! I swear if they do this I will start my own hedge fund!! fuck!, a 200 percent ANNUAL return with ZERO risk after 12 months!!!! NICE!!!!!!

[MannyGoldstein]

8. Motherfucker

I am so sick of this bullshit.

[RB TexLa]

5. I know a 51 year old private equity firm that just planned their earnings conference call today

that will now meet the 200% asset-coverage ratio needed to pay out their dividend.

Looks like we are going to be out to a huge fund raising advantage.

[Idealism]

6. The government is outsourcing the job of buying toxic debt, is what this is.

They don't want to be holding the assets because to buy these up and assume their losses, they would have to borrow more money, which is looking pretty tough in this global recession. So, they are outsourcing the job. The problem is that if these investments remain worthless or more losses are realized on them, the companies who bought these off government subsidies and implicit backing, will be clamoring for more federal taxpayer money- which is the worst of both worlds: the government loses the capital needed to purchase the investment, and loses the investments potential for profit recovery when the market rebounds...

As it stands, this to me seems like a bad idea.

[CountAllVotes]

7. it may be the only thing left

if not, everyone's portfolio with these toxic banks will be worth zero instead of the now ~$5.00 a share at best. It might look like a damn good deal before it is over.

Farewell Bank of America!

A. P. GIANNINI, RIP!!!

:dem:

[marketcrazy1]

9. It might look like a damn good deal

but it wont be in the long run because the Treasury: read taxpayers, will be on the hook for ALL of the losses while hedge funds will have sucked up HUGE gains!!

[depakid]

11. That's about right

The alternative would involve an entity like the RTC, something thus far Summers and Gaithner are loathe to accept (as this means admitting that their previous policies were utter failures).

So instead, we get half measures- which may well end up being the worst of both worlds.

[The Brethren]

14. "will be clamoring

clamoring for more federal taxpayer money" Say it ain't so Joe! LOL

Seriously, if I hear of any more bailouts, I'm going to be screaming bloody murder.




Know what you're paying for. The Stimulus Plan ("American Recovery and Reinvestment Act of 2009"): Orig. House version -- http://appropriations.house.gov/pdf/RecoveryBill01-15-09.pdf , House spreadsheet -- http://spreadsheets.google.com/ccc?key=pV-c6t5fOVmNorqMpHvnCMw ; Senate version -- http://appropriations.senate.gov/News/2009_02_02_The_American_Recovery_and_Reinvestment_Act_of_2009.pdf ; and Senate compromise -- http://www.govtrack.us/congress/billtext.xpd?bill=h111-1 , Text and $$$ details of Senate compromise -- http://appropriations.senate.gov/News/2009_02_08_UPDATED_Appropriations_Provisions_of_American_Recovery_and_Reinvestment_Act.pdf?CFID=4043629&CFTOKEN=40573040 . In addition to -- http://readthestimulus.org/amdth1.pdf , along with -- http://www.readthestimulus.org/ . Final version, Feb. 13th, 1500 pgs. worth -- http://www.whitehouse.gov/the_press_office/arra_public_review/ , more details on the final version -- http://www.taxpayer.net/resources.php?category=&type=Project&proj_id=1913&action=Headlines%20By%20TCS , including spending -- http://cbs4denver.com/national/Web.government.accountability.2.937188.html

[Metta]

10. yeah, his fiscal policies are ass backwards. makes sense what that he's being led by those who

broke things in the first place.

[The Brethren]

15. Thank you for bringing that up.

That is exactly what I think is going on. Man, are we scr*wed.




Know what you're paying for. The Stimulus Plan ("American Recovery and Reinvestment Act of 2009"): Orig. House version -- http://appropriations.house.gov/pdf/RecoveryBill01-15-09.pdf , House spreadsheet -- http://spreadsheets.google.com/ccc?key=pV-c6t5fOVmNorqMpHvnCMw ; Senate version -- http://appropriations.senate.gov/News/2009_02_02_The_American_Recovery_and_Reinvestment_Act_of_2009.pdf ; and Senate compromise -- http://www.govtrack.us/congress/billtext.xpd?bill=h111-1 , Text and $$$ details of Senate compromise -- http://appropriations.senate.gov/News/2009_02_08_UPDATED_Appropriations_Provisions_of_American_Recovery_and_Reinvestment_Act.pdf?CFID=4043629&CFTOKEN=40573040 . In addition to -- http://readthestimulus.org/amdth1.pdf , along with -- http://www.readthestimulus.org/ . Final version, Feb. 13th, 1500 pgs. worth -- http://www.whitehouse.gov/the_press_office/arra_public_review/ , more details on the final version -- http://www.taxpayer.net/resources.php?category=&type=Project&proj_id=1913&action=Headlines%20By%20TCS , including spending -- http://cbs4denver.com/national/Web.government.accountability.2.937188.html

[deaniac21]

12. Meet the new boss, same as the old boss.

[The Brethren]

13. You're not dreaming.

Unfortunately, the names have changed, but it's politics as usual.

My family use to say when I was growing up -- vote on what you believe in, hope for the best, and above never trust a politician. I went through Pollyanna land for while thinking what politicians say will actually match their actions. Then I woke up and realized my family was right along.

[Xicano]

16. Know what they use to do in ancient Mexico?

Something that looks attractive right about now. Every 52yrs all debts were absolved, all fires were extinguish. In a sense they had a reset button and pushed it every 52yrs.

What scares me more than anything is the frightening potential coming from GMO's and CODEX A. But it looks like we're all gonna die from starvation anyway due to pretty soon a loaf of bread will cost $1000.


*sigh*

[notesdev]

17. He came with the CFR label

Didn't you know what you were buying?

[readmoreoften]

23. And the CFR commitment to fight for "our interests" around the globe...

"Our" interests. Who is this we? Answer: it isn't America and it isn't the Working Class.

I know what I bought when I voted for Obama: the first African-American president of the US who would fuck us over as hard as every other American politician.

[defendandprotect]

19. I hope to heavens you're dreaming . . .

My blood pressure is too high to even read the whole thing!!!

[OhioChick]

20. K&R

:kick:

[cliffordu]

21. loans are OK -

Grants, not so much.

[burythehatchet]

22. welcome to hell

[WCGreen]

24. Maybe someone should point this little nugget to psycho Santelli..