tag:blogger.com,1999:blog-4863014635257598503.post8258315989273468945..comments2024-02-27T22:18:53.706-05:00Comments on Zero Hedge: TARP Has Lost 40% Since InceptionTyler Durdenhttp://www.blogger.com/profile/00165439451205639523noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-4863014635257598503.post-5903423469728330082009-03-17T12:21:00.000-04:002009-03-17T12:21:00.000-04:00Why the outrage? TARP investments were destinted ...Why the outrage? TARP investments were destinted to go down in value, because it was buying distressed assets (or shares of stock for distressed companies) that no one in the world was willing to buy, probably at any price. What's the value of something nobody is willing or able to buy? Zero.<BR/><BR/>Now the government has them - all of a sudden they're worth something?<BR/><BR/>I know the mantra rolling around the MSM when TARP was being passed was "the taxpayers will get their money back". That was an out-and-out lie and they knew it, and you should have known it, too. They had to give good money for bad assets, assets that may never be worth much of anything.<BR/><BR/>TARP was based on the fiction that anything in finance or real estate last year was really worth anything near their going market prices. The fatal correction is finally upon us, and we taxpayers are the ones left holding the bag.<BR/><BR/>...and "we" keep pouring money into the economy. Goodie.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4863014635257598503.post-17597528848892659012009-03-10T10:31:00.000-04:002009-03-10T10:31:00.000-04:00It appears this blog is written by an investment n...It appears this blog is written by an investment novice who thinks investments always go up in value immediately after purchase. <BR/><BR/>Older hands know better.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4863014635257598503.post-46787834033398857332009-03-09T21:48:00.000-04:002009-03-09T21:48:00.000-04:00the greatest scam going is the fdic backed debt. I...the greatest scam going is the fdic backed debt. I wonder if the interest differential (market for bank vs. treasury) is tallied in that supposed 8T that has been lent or guaranteed thus far? banks are cramming down equity holders by piling into the fdic backed debt as a means of extorting the governemnt and taxholders to keep them alive. Kind of the AIG strategy out in the open. This is an utter disgrace and yet not a story to be told.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4863014635257598503.post-43737672893959162752009-03-09T20:42:00.000-04:002009-03-09T20:42:00.000-04:00I am confused by the statement that the government...I am confused by the statement that the government has lost money. It is true that some of the TARP investment was converted to common in Citibank. But for the other banks, the investment is still in preferred stocks, which may be worthless but more likely will be paid off in full. Just how do they estimate the loss on senior preferred in Well Fargo, given there is no market in these shares?Advant Guardhttps://www.blogger.com/profile/13724697741711826082noreply@blogger.com