John A. Yarmuth, a Democrat from Kentucky, chose to read aloud from an instant-message conversation between two S&P employees in the firm’s structured product division.
“The other writes back: “The model does not reflect even half of the risk.’”“The first employee writes back: “Yeah, but we rate every deal. It could be structured by cows, and we would be rating it.’
Wednesday, October 22, 2008
"It Could be Structured by Cows, and We Would be Rating It"
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could be a commodity swap backed with corn and cattle futures and hedged with CL options.
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