Recession

[spaceballl]

Misconception. Hedge funds aren't, nor were they ever the problem. The problem was people selling off securitized mortgages of people with piss-poor credit history, and investment ratings agencies stupidly rating them as AAA bonds.

It's completely inaccurate to state that hedge funds didn't accelerate the downturn. As the value of their securities went down, and they were extremely leveraged, they had to meet their margin calls. At that point you can either raise money or sell assets. Nobody was investing so they sold assets. Selling assets then forced prices down further, causing other funds to need to liquidate, etc. This is called de-leveraging and it certainly has been very prevalent with hedge funds. Of course, this isn't JUST with hedge funds, but to say that hedge funds had nothing to do with this would be ignorant.

 

[Theophany]

It's completely inaccurate to state that hedge funds didn't accelerate the downturn. As the value of their securities went down, and they were extremely leveraged, they had to meet their margin calls. At that point you can either raise money or sell assets. Nobody was investing so they sold assets. Selling assets then forced prices down further, causing other funds to need to liquidate, etc. This is called de-leveraging and it certainly has been very prevalent with hedge funds. Of course, this isn't JUST with hedge funds, but to say that hedge funds had nothing to do with this would be ignorant.

But these funds would not have had to de-leverage if the securities had not been dishonestly created and sold in the first place. There's a trail of accountability, they did accelerate the downturn, but only because they were completely opened up to collapse.

It's like saying that a car's poor safety mechanisms are to blame for the death of a drunk driver. The driver wouldn't have crashed the car in the first place if he hadn't been drunk.

 

[ari gold]

Graduated from college mid december, have been looking for a job for ~2 months, and I can't get a job. I have a part-time job that I had while I was in school but I only work 15 or so hours a week and this doesn't even cover rent for the month. If this keeps up I'll have to move out of town and go back and live with my mom.

 

[BigHungry04]

Graduated from college mid december, have been looking for a job for ~2 months, and I can't get a job. I have a part-time job that I had while I was in school but I only work 15 or so hours a week and this doesn't even cover rent for the month. If this keeps up I'll have to move out of town and go back and live with my mom.

I hear the US Military is hiring.