Tag Archives: Financial Times

Guess who created the latest derivative product

Yep, you guessed it, the federal government. The Financial Times reported today that Freddie Mac will sell a new kind of derivative that will get private investors to take on the risk of default of $22.5 billion in mortgages. From … Continue reading

Posted in Bank balance sheets, Banking, Financial crisis, Regulation, Too Big to Fail | Tagged , , , | Leave a comment