[ucodegen]

The article fails to indicate who underwrote the CDSs for the CDOs that Magnetar created. If the underwriter of the CDSs decided to charge a lot for the underwriting or refused to underwrite the trash, Magnetar would have imploded from the crap they created.

FYI:
The way you bet against a basket of mortgages is to form a CDO of them and then to take out a CDS on the basket as well. The CDS insures against the default. After you have the CDS, you sell off the CDO, retaining the CDS.

CDS = Credit Default Swap.
CDO = Collateralized Debt Obligation.

A CDS is like a ‘put’ on the value of the CDO – or an insurance policy against the loss in principal.

[ucodegen]

The article fails to indicate who underwrote the CDSs for the CDOs that Magnetar created. If the underwriter of the CDSs decided to charge a lot for the underwriting or refused to underwrite the trash, Magnetar would have imploded from the crap they created.

FYI:
The way you bet against a basket of mortgages is to form a CDO of them and then to take out a CDS on the basket as well. The CDS insures against the default. After you have the CDS, you sell off the CDO, retaining the CDS.

CDS = Credit Default Swap.
CDO = Collateralized Debt Obligation.

A CDS is like a ‘put’ on the value of the CDO – or an insurance policy against the loss in principal.

[ucodegen]

The article fails to indicate who underwrote the CDSs for the CDOs that Magnetar created. If the underwriter of the CDSs decided to charge a lot for the underwriting or refused to underwrite the trash, Magnetar would have imploded from the crap they created.

FYI:
The way you bet against a basket of mortgages is to form a CDO of them and then to take out a CDS on the basket as well. The CDS insures against the default. After you have the CDS, you sell off the CDO, retaining the CDS.

CDS = Credit Default Swap.
CDO = Collateralized Debt Obligation.

A CDS is like a ‘put’ on the value of the CDO – or an insurance policy against the loss in principal.

[ucodegen]

This is because the black ink is actually printed on top of the paper and the black ink is microscopically higher than the paper. Conversely, any green ink is pressed into the paper. If you can feel the ridges in the jacket with your fingernail most likely genuine.

Kind of. Some xerox process printers, particularly the organic drum types, will produce raised letters under some circumstances, but they will not be able to produce the level green ink. No printers can produce the watermark. That is ‘in’ the paper. The xerox process prints are not as ‘stable’ as the US bill printing. I have had the ‘print’ peeled off a piece of paper by volatile compounds in plastic binders. That is because the ‘print’ on xerox process is actually fused plastic ‘dust’ on the surface of paper.

[ucodegen]

This is because the black ink is actually printed on top of the paper and the black ink is microscopically higher than the paper. Conversely, any green ink is pressed into the paper. If you can feel the ridges in the jacket with your fingernail most likely genuine.

Kind of. Some xerox process printers, particularly the organic drum types, will produce raised letters under some circumstances, but they will not be able to produce the level green ink. No printers can produce the watermark. That is ‘in’ the paper. The xerox process prints are not as ‘stable’ as the US bill printing. I have had the ‘print’ peeled off a piece of paper by volatile compounds in plastic binders. That is because the ‘print’ on xerox process is actually fused plastic ‘dust’ on the surface of paper.

[ucodegen]

This is because the black ink is actually printed on top of the paper and the black ink is microscopically higher than the paper. Conversely, any green ink is pressed into the paper. If you can feel the ridges in the jacket with your fingernail most likely genuine.

Kind of. Some xerox process printers, particularly the organic drum types, will produce raised letters under some circumstances, but they will not be able to produce the level green ink. No printers can produce the watermark. That is ‘in’ the paper. The xerox process prints are not as ‘stable’ as the US bill printing. I have had the ‘print’ peeled off a piece of paper by volatile compounds in plastic binders. That is because the ‘print’ on xerox process is actually fused plastic ‘dust’ on the surface of paper.

[ucodegen]

This is because the black ink is actually printed on top of the paper and the black ink is microscopically higher than the paper. Conversely, any green ink is pressed into the paper. If you can feel the ridges in the jacket with your fingernail most likely genuine.

Kind of. Some xerox process printers, particularly the organic drum types, will produce raised letters under some circumstances, but they will not be able to produce the level green ink. No printers can produce the watermark. That is ‘in’ the paper. The xerox process prints are not as ‘stable’ as the US bill printing. I have had the ‘print’ peeled off a piece of paper by volatile compounds in plastic binders. That is because the ‘print’ on xerox process is actually fused plastic ‘dust’ on the surface of paper.

[ucodegen]

This is because the black ink is actually printed on top of the paper and the black ink is microscopically higher than the paper. Conversely, any green ink is pressed into the paper. If you can feel the ridges in the jacket with your fingernail most likely genuine.

Kind of. Some xerox process printers, particularly the organic drum types, will produce raised letters under some circumstances, but they will not be able to produce the level green ink. No printers can produce the watermark. That is ‘in’ the paper. The xerox process prints are not as ‘stable’ as the US bill printing. I have had the ‘print’ peeled off a piece of paper by volatile compounds in plastic binders. That is because the ‘print’ on xerox process is actually fused plastic ‘dust’ on the surface of paper.

[ucodegen]

Funny story: my wife thought I was a little crazy at first, but I sold a car recently and got paid several thousand dollars in cash. I tried my best to check the bills myself and tried to make sure I could track down the buyer if I needed to then signed over the title and gave him the keys.

Best way to do this is do the transaction when the banks are open and have the buyer write a check and clear it at the bank that it was written on (with the buyer there). Clear it by converting it to cash at that bank. They will immediately check the account it is being drawn upon for sufficient funds.

[ucodegen]

Funny story: my wife thought I was a little crazy at first, but I sold a car recently and got paid several thousand dollars in cash. I tried my best to check the bills myself and tried to make sure I could track down the buyer if I needed to then signed over the title and gave him the keys.

Best way to do this is do the transaction when the banks are open and have the buyer write a check and clear it at the bank that it was written on (with the buyer there). Clear it by converting it to cash at that bank. They will immediately check the account it is being drawn upon for sufficient funds.

[ucodegen]

Funny story: my wife thought I was a little crazy at first, but I sold a car recently and got paid several thousand dollars in cash. I tried my best to check the bills myself and tried to make sure I could track down the buyer if I needed to then signed over the title and gave him the keys.

Best way to do this is do the transaction when the banks are open and have the buyer write a check and clear it at the bank that it was written on (with the buyer there). Clear it by converting it to cash at that bank. They will immediately check the account it is being drawn upon for sufficient funds.

[ucodegen]

Funny story: my wife thought I was a little crazy at first, but I sold a car recently and got paid several thousand dollars in cash. I tried my best to check the bills myself and tried to make sure I could track down the buyer if I needed to then signed over the title and gave him the keys.

Best way to do this is do the transaction when the banks are open and have the buyer write a check and clear it at the bank that it was written on (with the buyer there). Clear it by converting it to cash at that bank. They will immediately check the account it is being drawn upon for sufficient funds.

[ucodegen]

Funny story: my wife thought I was a little crazy at first, but I sold a car recently and got paid several thousand dollars in cash. I tried my best to check the bills myself and tried to make sure I could track down the buyer if I needed to then signed over the title and gave him the keys.

Best way to do this is do the transaction when the banks are open and have the buyer write a check and clear it at the bank that it was written on (with the buyer there). Clear it by converting it to cash at that bank. They will immediately check the account it is being drawn upon for sufficient funds.

[ucodegen]

Can’t they easily use those counterfeit pen thingies I see grocery store cashiers using? I always see them using it on bills>=50.

Those pens are useless. They are a racket perpetrated upon the stores by certain vendors. All that pen is, is a ‘acid’ detector, or pH indicator. US bills are printed on low acidity custom ‘rag paper’. Most paper has a lower (higher acidity) pH than US bills, but ‘archival quality paper’ has similar acidity.

It would be better to outfit the cashiers counters with light tables. The security marks are easy to see when backlit, and differ from denomination to denomination.

For the experimentally interested:
http://chemistry.about.com/od/acidsbase1/a/red-cabbage-ph-indicator.htm
This is not near as sensitive to pH as the ‘pen’, but is fun for kids to play with.

[ucodegen]

Can’t they easily use those counterfeit pen thingies I see grocery store cashiers using? I always see them using it on bills>=50.

Those pens are useless. They are a racket perpetrated upon the stores by certain vendors. All that pen is, is a ‘acid’ detector, or pH indicator. US bills are printed on low acidity custom ‘rag paper’. Most paper has a lower (higher acidity) pH than US bills, but ‘archival quality paper’ has similar acidity.

It would be better to outfit the cashiers counters with light tables. The security marks are easy to see when backlit, and differ from denomination to denomination.

For the experimentally interested:
http://chemistry.about.com/od/acidsbase1/a/red-cabbage-ph-indicator.htm
This is not near as sensitive to pH as the ‘pen’, but is fun for kids to play with.

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