Buy bonds on stuff we're already paying for in the bailout? WTFOVER? http://www.nytimes.com/2009/04/09/business/09fund.html?_r=1&hp=&pagewanted=print April 9, 2009 U.S. Imagines the Bailout as an Investment Tool By GRAHAM BOWLEY and MICHAEL J. de la MERCED During World War I, Americans were exhorted to buy Liberty Bonds to help their soldiers on the front. Now, it seems, they will be asked to come to the aid of their banks ââ¬â with the added inducement of possibly making some money for themselves. As part of its sweeping plan to purge banks of troublesome assets, the Obama administration is encouraging several large investment companies to create the financial-crisis equivalent of war bonds: bailout funds. The idea is that these investments, akin to mutual funds that buy stocks and bonds, would give ordinary Americans a chance to profit from the bailouts that are being financed by their tax dollars. But there is another, deeply political motivation as well: to quiet accusations that all of these giant bailouts will benefit only Wall Street plutocrats. The potential risks ââ¬â politically for the administration, and financially for would-be investors ââ¬â are considerable. The funds, the thinking goes, would buy troubled mortgage securities from banks, enabling the lenders to make the loans that are needed to rekindle the economy. Many of the loans that back these securities were made during the subprime era. If all goes well, the funds will eventually sell the investments at a profit. But, as with any investment, there are risks. If, as some analysts suspect, the banksââ¬â¢ assets are worth even less than believed, the fundsââ¬â¢ investors could suffer significant losses. Nonetheless, the administration and executives in the financial industry are pushing to establish the investment funds, in part to counter swelling hostility against the financial industry. Many Americans are outraged that companies like the American International Group paid out many millions in bonuses despite crippling losses and multibillion-dollar rescues from Washington. < - >
So, you now have 2 options: "give" them your money by investing in these shitty assets, or "give" them your money in the form of higher taxes on everything you could possibly think of. The royal f$$king never ends.
Buy bonds on stuff we're already paying for in the bailout? WTFOVER? Quote rickf Not bonds rickf, it is a fund. That is worse. No garanteed interest like a bond, just hope for the bad assets to sold for profit in the future. Who would invest in this when no one know what the value is?