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futurenyustudent · 03-26-2008, 08:38 PM

My point is if you think that Wall Street isn't to blame for the market failures in 29, 87, 97, 01 and again in 07-08, you need to have your head examined. And yes, telling me that a subprime mortgage bond is anything other than a junk bond IS a breach of trust. Investors trust our investment banks to be honest with them. Investors trust bond rating agencies to be honest with them. The SEC REQUIRES AND INSISTS that they be honest with investors, or else face huge fines. I hope the people who peddled those mortgage bonds as AAA papers are banned from the industry. Don't give me that "buyer beware" crap: when I buy a car, I expect the car to be in close to flawless working condition, safe and free of defect. And if there is a defect, the manufacturer damn well better fix it. If the car is unsafe, they damn well better let me know and fix whatever's making it unsafe. Otherwise, they'll find a process server at their door.

We can hold car manufacturers responsible for knowing peddling defective products, we can sue doctors for ****ing up a surgery, we can sue lawyers and accountants for malpractice. Please explain to me why investment professionals, who are selling a PRODUCT (i.e. the investment) shouldn't be held at least partly responsible for this mess. They may not be completely at fault, but they still peddled "AAA" papers that should have been rated junk in reality.

Believe whatever you'd like. But those who don't learn from history are doomed to repeat it.

Did I say I was good enough to be an investment banker? I said I dislike that industry in general.

03-26-2008, 08:38 PM	#19
futurenyustudent Senior Member Join Date: May 2006 Location: New York, but wishing I was in London Posts: 3,185	My point is if you think that Wall Street isn't to blame for the market failures in 29, 87, 97, 01 and again in 07-08, you need to have your head examined. And yes, telling me that a subprime mortgage bond is anything other than a junk bond IS a breach of trust. Investors trust our investment banks to be honest with them. Investors trust bond rating agencies to be honest with them. The SEC REQUIRES AND INSISTS that they be honest with investors, or else face huge fines. I hope the people who peddled those mortgage bonds as AAA papers are banned from the industry. Don't give me that "buyer beware" crap: when I buy a car, I expect the car to be in close to flawless working condition, safe and free of defect. And if there is a defect, the manufacturer damn well better fix it. If the car is unsafe, they damn well better let me know and fix whatever's making it unsafe. Otherwise, they'll find a process server at their door. We can hold car manufacturers responsible for knowing peddling defective products, we can sue doctors for ***ing up a surgery, we can sue lawyers and accountants for malpractice. Please explain to me why investment professionals, who are selling a PRODUCT (i.e. the investment) shouldn't be held at least partly responsible for this mess. They may not be completely at fault, but they still peddled "AAA" papers that should have been rated junk in reality. Believe whatever you'd like. But those who don't learn from history are doomed to repeat it. Did I say I was good enough to be an investment banker? I said I dislike that industry in general. Last edited by futurenyustudent; 03-26-2008 at 08:46 PM.*