with interest rates and general returns on AAAAA++ investments so low, those hunting for the above market returns on capital (instead of the return of capital) are prime targets.
A tailor made product, so to speak.
Can't see any Auzzie local governments would be interested.
Another problem is that these derivatives are so complex that there is no simple explanation of how they work and therefore the real dangers.
Fiddling with the rating of the "product" is just so easy.
If you don't understand it, don't buy it.
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- something to think about
something to think about, page-5
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