Third horsemen of the financial apocalypse is worst of the four.(Business Report)

The Star (South Africa) | November 17, 2008 | Copyright

It appears as if two of the horsemen of the apocalypse, namely Leverage and Greed, initially entered the race under the banner: "This time it is different."

They thus started running the race at breakneck speed, creating sophisticated collateralised debt obligations as if there was no tomorrow and pushing the US mortgage market (as well as other securities markets) to unprecedented heights.

Just when it seemed as if this time these two horsemen and their horses would never tire, two new horsemen, Lack of Liquidity and Fear, entered the race and proved, once ...

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