http://lendingproguide.com/will-foreign-lending-make-up-for-all-the-losses-in-the-subprime-catastrophe-how-much-will-it-take/ Free Consumer Lending Resource Tue, 22 May 2012 03:32:37 +0000 http://wordpress.org/?v=2.7 hourly 1 http://lendingproguide.com/will-foreign-lending-make-up-for-all-the-losses-in-the-subprime-catastrophe-how-much-will-it-take/comment-page-1/#comment-280 Ҝendrick Thu, 09 Oct 2008 11:31:30 +0000 http://lendingproguide.com/will-foreign-lending-make-up-for-all-the-losses-in-the-subprime-catastrophe-how-much-will-it-take/250/#comment-280 There is no way to 'make it up'. Investment portfolio's, whether it be loans, collection accounts, stocks, and so on, have a beta. Beta is considered the risk relative to the market. Subprimes were risky, because they were high risk loans(loans are investments). You take that risk anytime you have investments. Goldman Sachs was smart enough to leverage their position, which minimized the risk relative to the earnings expected. There is no way to ‘make it up’. Investment portfolio’s, whether it be loans, collection accounts, stocks, and so on, have a beta. Beta is considered the risk relative to the market. Subprimes were risky, because they were high risk loans(loans are investments). You take that risk anytime you have investments. Goldman Sachs was smart enough to leverage their position, which minimized the risk relative to the earnings expected.

]]> http://lendingproguide.com/will-foreign-lending-make-up-for-all-the-losses-in-the-subprime-catastrophe-how-much-will-it-take/comment-page-1/#comment-279 indiana_crank Mon, 06 Oct 2008 03:01:36 +0000 http://lendingproguide.com/will-foreign-lending-make-up-for-all-the-losses-in-the-subprime-catastrophe-how-much-will-it-take/250/#comment-279 No, it's an explostion of risk that can't be staved off permanently through any amount of money. In Eurpoe they just loosened things up to the tune of 500 billion and the market didn't react much. No, it’s an explostion of risk that can’t be staved off permanently through any amount of money. In Eurpoe they just loosened things up to the tune of 500 billion and the market didn’t react much.

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