I assume Ms. McArdle is joking. Anyone who thinks that warrants equal stock ownership clearly doesn't know what he is talking about. I didn't read any further.
Not a great analysis. I don't think he has much of an understanding of AIG's CDS, or the level of RMBS held in insurer and securities lending reinvestment portfolios.
As one commenter says, read the Q before you hold yourself out as an expert.
I am curious, what did AIG to do to limit its own risk? For every put option there is a call option. Doesn't a good bookie lay off their bets?
I assume Ms. McArdle is joking. Anyone who thinks that warrants equal stock ownership clearly doesn't know what he is talking about. I didn't read any further.
Not a great analysis. I don't think he has much of an understanding of AIG's CDS, or the level of RMBS held in insurer and securities lending reinvestment portfolios.
As one commenter says, read the Q before you hold yourself out as an expert.
Uncle Jay explains the whole crisis more shortly and simply ... his news word of the week: "AAAAAaaaaarrgh...!".