I just quit the largest consulting firm in US for Agents and Brokers because, in November we decided not to run an article I wrote after a great deal of research about AIG….a potential customer.
It’s worse than you know. By August of this year (09) the liabilities will threaten $1.86 trillion and “they” knew it last November when I wrote the piece. I just quit at a time when the world is unemployed because I should have brought our research forward. I worried about stability and income and I know now that was wrong.
I know Paula (previously with Safeco hired to sell-off crap that can’t sell). I can’t speak about our conversations but I can promise you…I am right.
Common guys. Don’t trust me. Trust your gut! AIG is giving away long-tail exposures at 70% under expiring. Surplus will vanish in 2 years. In November I said the bailout would go to $400bln becasue the data we found used a 30% default rate on high-risk loans that NEEDED DEFAULT INSURANCE! and it appeared the cash position of AIG depended upon them violating rate filings, “A”-rating every other filed rate and totally ignoring subordinated reinsurance treaties on underlying. (Ya…I’m one of you)
Since I know what’s about to happen next, (commercial real estate gaurantees by AIG REITS) all I can offer is my apology and my sincere hope that you get your clients out of AIG paper. Keep an eye on Kelley who left Lexington to Bermuda and now Hank has desided to throw-in with him. That will be a great show.
Lastly, do not believe the CDS (credit default swaps) were not known to the Office of Thrift as “insurnace”. They made 4518% in fees and taxes more than they, the Feds, would have otherwise. They knew and some think the Fed chair of NY-Fed (Gietner) must have known…but everyone I spoke to thinks he SHOULD HAVE KNOWN. When I found this, I left New York and quit.
God Bless and do your best to uphold underwriting standards supporting only those carriers who have a balance sheet conscious like Chubb, Liberty, Travelers to an extent, Definately F.Fund, and well-capitalized regionals in the mid-west.
It doesn’t take Columbo to know who this guys is. I’m blown away. As a compliance officer inside one of those “good carriers” he mentioned I can tell you we think his remarks of AIG’s preditory pricing is worthy of a congressional investigation. He is 100% exactly right…scarry right.
I hope all of you internalize what he is saying…and what he’s not saying. I hope this isn’t his last contribution.
The following statement was just sent to me by a narcaleptic friend of mine who may no longer qualify under the title of “friend”.
It would appear that the NY Insurance Commissioner just validated my earlier remarks as to the size and scope of this cluster….$440bln and a collateralized exposure of $1.4trillion.
I just happened across this email and the comment section and i probably should have kept my powder dry. I just thought thoughtful people in a biz I love might like to know what was rattling around in my head.
I’ve said enough.
But to say it for the last time: dump everything AIG at renewal and when you read that much of the AIG bailout money went to gauranteeing Euro investment schemes and NOT US CREDITORS you will know that taxpayer dollars are securitizing euro schemes and, yes, the securitized bond and credit holders of GM’s mess who will make a killing once GM goes Banko and the CDS (your taxes) must pay those creditors as though the “penny stock” of GM is still worth $8.09 per share.
Yeah…and now you know why Ben bernake was so pissed last week on Capital Hill.
I could go on but I won’t. Most of you will think this isn’t real…
Again,
God Bless.
I’m done. My short-lived participation in this blogging thing comes to an end
Silence ninnies! Do not question what the man does behind the curtain. He is busy bringing hope & change and let’s not forget transparency to the federal government. Do not gripe or its off to the disident camps for a reeducation you will never forget.
I realize these are very simplistic questions, with no clear answer…as if I or anyone could ever really gain answers to them anyway, but here goes:
1. Have any foreign governments contributed to the global bailout? If so, how much?;
2. How much has the U.S. government forgiven in foreign aid packages or loans over the years and how would that grand total compare to Congress’ recent loans/bailouts/whatever grand total?
On second thought, I don’t think I want to know the answers. The more things change the more they stay the same.
This isn’t our father’s democracy and free-market system anymore.
I wonder what Harry Truman or Ronald Reagan would have done?
Yes since Obama has been in charge the markets have gone down and ridiculous proposals have been suggested.
However, people PLEASE let us not forget that the market and AIG were definitely tanking before Obama was president, and in fact before we knew he would become president.
Do you people REALLY think that all of our problems just magically appeared in the middle of January 2009, and that this is all Obama’s fault?
The ignorant partisan titters need to stop… When will all of these people realize there is no real difference in agenda between the two parties anyway? They both exhibit the very same reprehensible behavior, year after year, administration after administration, congress after congress, republicraps and democraps alike.
Did you all forget it was BUSH who bailed out these companies, and it was during BUSH’S watch that Wall Street Giants fell. Obama is left to pick up the pieces, and he is failing miserably while simultaneously trying to take advantage of the situation. They are both reprehensible.
Actually genius, trace the problem back to Clinton who allowed Fannie Mae and Freddie Mac to loosen their loan standards to allow lower incomes to be able to get loans, which was a nice idea but lacked the proper controls. We wouldn’t be in this mess if that did not happen. Further, there is CNN taped evidence showing Bush saying the Fannie and Freddie need regulation/controls on what loans they were giving out, but Democratic heroes like Barney Frank shot the idea down stating that Freddie and Fannie did not need regulation. Your only good point is that Obama did inherit the problem. Unfortunately, raising taxes isn’t going to fix it.
I just quit the largest consulting firm in US for Agents and Brokers because, in November we decided not to run an article I wrote after a great deal of research about AIG….a potential customer.
It’s worse than you know. By August of this year (09) the liabilities will threaten $1.86 trillion and “they” knew it last November when I wrote the piece. I just quit at a time when the world is unemployed because I should have brought our research forward. I worried about stability and income and I know now that was wrong.
I know Paula (previously with Safeco hired to sell-off crap that can’t sell). I can’t speak about our conversations but I can promise you…I am right.
Common guys. Don’t trust me. Trust your gut! AIG is giving away long-tail exposures at 70% under expiring. Surplus will vanish in 2 years. In November I said the bailout would go to $400bln becasue the data we found used a 30% default rate on high-risk loans that NEEDED DEFAULT INSURANCE! and it appeared the cash position of AIG depended upon them violating rate filings, “A”-rating every other filed rate and totally ignoring subordinated reinsurance treaties on underlying. (Ya…I’m one of you)
Since I know what’s about to happen next, (commercial real estate gaurantees by AIG REITS) all I can offer is my apology and my sincere hope that you get your clients out of AIG paper. Keep an eye on Kelley who left Lexington to Bermuda and now Hank has desided to throw-in with him. That will be a great show.
Lastly, do not believe the CDS (credit default swaps) were not known to the Office of Thrift as “insurnace”. They made 4518% in fees and taxes more than they, the Feds, would have otherwise. They knew and some think the Fed chair of NY-Fed (Gietner) must have known…but everyone I spoke to thinks he SHOULD HAVE KNOWN. When I found this, I left New York and quit.
God Bless and do your best to uphold underwriting standards supporting only those carriers who have a balance sheet conscious like Chubb, Liberty, Travelers to an extent, Definately F.Fund, and well-capitalized regionals in the mid-west.
I wish you well.
DR
WOW!
It doesn’t take Columbo to know who this guys is. I’m blown away. As a compliance officer inside one of those “good carriers” he mentioned I can tell you we think his remarks of AIG’s preditory pricing is worthy of a congressional investigation. He is 100% exactly right…scarry right.
I hope all of you internalize what he is saying…and what he’s not saying. I hope this isn’t his last contribution.
MW
The following statement was just sent to me by a narcaleptic friend of mine who may no longer qualify under the title of “friend”.
It would appear that the NY Insurance Commissioner just validated my earlier remarks as to the size and scope of this cluster….$440bln and a collateralized exposure of $1.4trillion.
I just happened across this email and the comment section and i probably should have kept my powder dry. I just thought thoughtful people in a biz I love might like to know what was rattling around in my head.
I’ve said enough.
But to say it for the last time: dump everything AIG at renewal and when you read that much of the AIG bailout money went to gauranteeing Euro investment schemes and NOT US CREDITORS you will know that taxpayer dollars are securitizing euro schemes and, yes, the securitized bond and credit holders of GM’s mess who will make a killing once GM goes Banko and the CDS (your taxes) must pay those creditors as though the “penny stock” of GM is still worth $8.09 per share.
Yeah…and now you know why Ben bernake was so pissed last week on Capital Hill.
I could go on but I won’t. Most of you will think this isn’t real…
Again,
God Bless.
I’m done. My short-lived participation in this blogging thing comes to an end
DR
“And I would be very concerned that if we started giving out the names of counterparties here, people would not want to do business with AIG”
Hmmmm…… What does that say to you?
I think that is they are getting PUBLIC MONIES, that the public has a right to know.
I bet Goldman-Sachs is on the list of firms helped by the AIG bailout.
Where was DODD 5 years ago? Why didn’t they know what AIG was doing as they were suppose to make sure this didn’t happen?
Why people of CONN vote for this man I will never understand. Why isn’t he in front of the congress?
Silence ninnies! Do not question what the man does behind the curtain. He is busy bringing hope & change and let’s not forget transparency to the federal government. Do not gripe or its off to the disident camps for a reeducation you will never forget.
I realize these are very simplistic questions, with no clear answer…as if I or anyone could ever really gain answers to them anyway, but here goes:
1. Have any foreign governments contributed to the global bailout? If so, how much?;
2. How much has the U.S. government forgiven in foreign aid packages or loans over the years and how would that grand total compare to Congress’ recent loans/bailouts/whatever grand total?
On second thought, I don’t think I want to know the answers. The more things change the more they stay the same.
This isn’t our father’s democracy and free-market system anymore.
I wonder what Harry Truman or Ronald Reagan would have done?
Yes since Obama has been in charge the markets have gone down and ridiculous proposals have been suggested.
However, people PLEASE let us not forget that the market and AIG were definitely tanking before Obama was president, and in fact before we knew he would become president.
Do you people REALLY think that all of our problems just magically appeared in the middle of January 2009, and that this is all Obama’s fault?
The ignorant partisan titters need to stop… When will all of these people realize there is no real difference in agenda between the two parties anyway? They both exhibit the very same reprehensible behavior, year after year, administration after administration, congress after congress, republicraps and democraps alike.
Did you all forget it was BUSH who bailed out these companies, and it was during BUSH’S watch that Wall Street Giants fell. Obama is left to pick up the pieces, and he is failing miserably while simultaneously trying to take advantage of the situation. They are both reprehensible.
{makes sheep noises}
Actually genius, trace the problem back to Clinton who allowed Fannie Mae and Freddie Mac to loosen their loan standards to allow lower incomes to be able to get loans, which was a nice idea but lacked the proper controls. We wouldn’t be in this mess if that did not happen. Further, there is CNN taped evidence showing Bush saying the Fannie and Freddie need regulation/controls on what loans they were giving out, but Democratic heroes like Barney Frank shot the idea down stating that Freddie and Fannie did not need regulation. Your only good point is that Obama did inherit the problem. Unfortunately, raising taxes isn’t going to fix it.
I read a report that said Goldman Sachs got $30,000,000,000 via AIG from GS former CEO. What’s a conflict of interest?
…something worth reading on this rag.
Please do go on. Its not everyday that someone posts something that might actually be backed by factual evidence on here.