UBS Covered Bond

We talk a lot about the smaller fish and how they skin or scam people.. lets talk about covered bonds..

Thanks, JW

I will start it off...

 

http://www.treas.gov/press/releases/reports/USCoveredBondBestPractices.pdf

 

Be well, JW

Sorry JW, I know nothing about these types of security!

Tea.... was ejected.... from my nostril.... over my keyboard...... on to the screen..

 

That is wrong "G"...

 

You are not touching the re-packaging of whatever ugly debt that is performing / sliding into this tried and true name brand?

 

Come on....

 

My best to you and yours, JW

JW

Hahaha, I first looked at CMO's and CDO's back in 2002/2003, but was a bit underwhelmed. To me, if I wanted to take a bet on US interest rates I could just use a spread bet or something similar. Whilst the extra yields on offer were enticing, my colleagues and I felt that the you couldn't create AAA debt by packaging less well rated debt together. So we stuck to your normal bog standard debt!

If only my fellow American Citizens (All) had you good nature and dare I say common sense "G"..

The new offering.. using the same old garbage... with a tried and true Flag (Covered Bond) is actually on yourside of the Pond.. I used the Garbage here to help provide steerage away from...

You will see it "G".. I have yet to the the counter party on the quality of the debt but as you said I expect to be severly underwhelmed.

UBS London (I should note this is Fresh Cut from the District office, I dont know if I got the district office right quoting the idiots of course) will be the issuer.. with the insurance coming out of UBS Swiss proper.

So collecting a loss would require fighting UBS at home on Swiss dirt.. Lovely structure.. for UBS..

And the London office gets to say... something along the lines of we are sorry it really is a Swiss problem..

Any way.. I had to vent.. I was in one of my moods..

Be well "G", JW