C4 Dispatches: How Banks Bet Your Money (TV)

C4 Dispatches How Banks Bet Your Money PT1
youtube.com/watch?v=OCTZANL3N1s

C4 Dispatches How Banks Bet Your Money PT2
youtube.com/watch?v=VCuxFNza8dk

C4 Dispatches How Banks Bet Your Money PT3
youtube.com/watch?v=QdIqfgOe2wI

C4 Dispatches How Banks Bet Your Money PT4
youtube.com/watch?v=M1YJRco9YnQ

C4 Dispatches How Banks Bet Your Money PT5
youtube.com/watch?v=0FxgxI4DoSA

**FYI: CLO = Collateralized Loan Obligation (CLO)
riskglossary.com/link/collat … gation.htm

Collateralized Loan Obligations: A Powerful New Portfolio Management Tool for Banks
securitization.net/knowledge … an_obl.asp**

Was a half decent documentary, if only Jon Moulton didn’t keep singing his own praises.

It was pretty good and I thought that it certainly explained the origins of the subprime crisis in an easy to understand way. However, I thought that the programme dwelled too much on the reckless borrowing that US consumers undertook and did not attempt to draw a parallel with the UK economy and its equally frightening mountain of debt. In addition, it is all the fault of the evil banks who just threw money at people, and it is not their fault that they borrowed more than they could afford to repay.

I saw a short piece on BBC News 24 last night mentioning that a number of UK banks have now stopped offering 125% loans! Some still do!

That’s what Northern Rock were at. Any Bank at this lark will hit a rock sooner or later. Insanity.

Programme was pretty good, if for no other reason than to inform Joe Public as to the recklessness of the supposedly sober institutions and the weakness of the Regulator.

news.bbc.co.uk/2/hi/business/7254426.stm