Credit Crisis Solution

In giving some background on the credit crisis, I explained the relationship between AAA rated mortgage securities, AIG, and Mark to Market accounting. Last week the FASB responded to pressure to reform FAS 157. In anticipation Bank of America and CITI have been purchasing these toxic assets in the dry market.

Depending on the result of the FASB deliberation it should be interesting to see what happens as a result of this, especially with the quarter ending March 31.

I’ll be posting updates as they become available.

This entry was posted on Friday, March 27th, 2009 at 6:34 pm and is filed under Crisis Background. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.