Quality of collateral is exactly the real issue. Banks, Wall Street Firms et. al. will be able to take in their “crappy” assets, and turn them into cash. If these assets were worth their face value, the new LTCF would not be necessary.
The language I have seen indicates that for now the window will be limited to GSE mortgage paper, but when that fails, crappier assets will creep in – for a lot longer than 28 days.
Quality of collateral is exactly the real issue. Banks, Wall Street Firms et. al. will be able to take in their “crappy” assets, and turn them into cash. If these assets were worth their face value, the new LTCF would not be necessary.
The language I have seen indicates that for now the window will be limited to GSE mortgage paper, but when that fails, crappier assets will creep in – for a lot longer than 28 days.
Quality of collateral is exactly the real issue. Banks, Wall Street Firms et. al. will be able to take in their “crappy” assets, and turn them into cash. If these assets were worth their face value, the new LTCF would not be necessary.
The language I have seen indicates that for now the window will be limited to GSE mortgage paper, but when that fails, crappier assets will creep in – for a lot longer than 28 days.
Quality of collateral is exactly the real issue. Banks, Wall Street Firms et. al. will be able to take in their “crappy” assets, and turn them into cash. If these assets were worth their face value, the new LTCF would not be necessary.
The language I have seen indicates that for now the window will be limited to GSE mortgage paper, but when that fails, crappier assets will creep in – for a lot longer than 28 days.
Quality of collateral is exactly the real issue. Banks, Wall Street Firms et. al. will be able to take in their “crappy” assets, and turn them into cash. If these assets were worth their face value, the new LTCF would not be necessary.
The language I have seen indicates that for now the window will be limited to GSE mortgage paper, but when that fails, crappier assets will creep in – for a lot longer than 28 days.
