Bimmerbill
Thinks s/he gets paid by the post
- Joined
- Jan 26, 2006
- Messages
- 1,645
I guess I don't know how all these big banks and investment firms went belly up. Was ALL of their cash tied up in bad CDOs etc?
I would think they would be diversified, so if one sector took a dive (housing) they would have a cushion and cash reserves.
Did they all just get swept up in the housing bubble/greed and bet the bank on that one sector?
Guess I don't know what's going on. Can anyone explain it in laymans terms?
I would think they would be diversified, so if one sector took a dive (housing) they would have a cushion and cash reserves.
Did they all just get swept up in the housing bubble/greed and bet the bank on that one sector?
Guess I don't know what's going on. Can anyone explain it in laymans terms?