As leveraged assets go down in value, the leverage multiples go up. Adding to that multiple is the falling dollar and the fact that these assets are in reality debt deposits, not cash deposits, that were passed on in different forms to be leveraged over and over.
It's just like Five Things You Need to Know, only louder.
Join Kevin Depew and Cory Bortnicker for 5 Things You Need To Know: The Podcast. Topics include:
1. The Age of Self Evidence 2. Service Industry Plunges 3. Jobs Vanishing 4. Bankruptcy Increases 5. Credit Card Stress
Each week, Kevin and Cory will break down the biggest stories on the Street, and why they matter to you. Cory knows next to nothing about economics. Fortunately, Kevin does.
Minyanville staff and contributors may trade or hold securities that are discussed in an article. Staff and contributors will indicate whether they have a position in any security discussed, but will not indicate size or direction. The information on this site is not intended as individualized investment advice and all investment decisions by a reader must in all cases be made by the reader either individually or together with his/her investment professional. The views expressed in articles appearing on this site are solely those of the staff and contributors and should not be attributed to any other person or entity except where expressly stated. Minyanville staff and contributors will not respond to requests for investment advice.
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