There could be a ticking time-bomb in your portfolio…
Today, rating agencies are still compensated by bond and derivative issuers, therefore, “every actor in the financial system has every incentive to group and slice assets in ways the maximize not their fundamental soundness but their rating”.
The report states that all 6 agencies have loosened criteria and gained market share because of that. Do you think they put your best interest first? Is this ticking time bomb in your portfolio? How can you insure your portfolio against losses?
You know I always recommend you do what the smartest guys on any topic, are doing for themselves. I’m buying physical gold, are you?