Comments for Mark-to-Market Debate

Comment on New FASB Proposal Nixes Participant Loans for 401(k) Plans by http://blog.royaltyuniverse.com/manage-or-be-managed/

http://blog.royaltyuniverse.com/manage-or-be-managed/ — Mon, 07 Feb 2011 22:30:36 +0000

Won’t be able to blame people for trying to fault someone for any crisis.

Comment on Advice for President Obama by Hunter

Hunter — Tue, 19 Oct 2010 12:04:55 +0000

Terrible idea to backstop home price losses, no offense. It would clearly create a moral hazard bubble that we’ve already been through a few too many times. Individuals and investors would go out and buy homes they could barely afford without any real margin of safety, just knowing a government guarantee is there.

Yes, we are a mutual society where we all have an interest in stable residential real estate values, but why should my tax dollars go to subsidize someone I don’t know or trust to take that risk, whereas I’ve been responsible with my own home payments??

Comment on FASB Proposes Mark-to-Market Accounting Rules by John F. Opie

John F. Opie — Thu, 16 Sep 2010 11:43:15 +0000

This way lies madness. Deliberately adding pro-cyclical valuations will create a permanent cycle of vicious swings, creating bubbles during every upswing and crashes every downswing of the business cycle.

I can tell you when the next crisis will happen: the day after this is implemented. Ye gods…

Comment on Kudlow & McTeer on MTM by Frankie Shaheen

Frankie Shaheen — Mon, 26 Jul 2010 16:59:30 +0000

Valuable information and facts and Wonderful style you got here! I want to say thanks for sharing your thoughts and time into the things you submit! Thumbs up

Comment on Marking A Loan Portfolio To Market Will Be Bad For Banking by Mark Vice

Mark Vice — Sat, 12 Jun 2010 10:01:33 +0000

I love it!

Comment on New Financial Model Needed by Domenic

Domenic — Tue, 18 May 2010 19:37:08 +0000

Sir – averaging financial data in no way adds to transparency or more robust disclosure. There is no need for a “new” financial model, but rather a new reporting model. That is, you can let the banks have there way of using historical cost for balance sheet purposes as long as fair value estiamtes are provided for in the footnotes. In this way an investor can choose what data to rely on. What the professor should be more concerned about is ensuring that all SPE’s are placed on the books and that bank accounting does not continue to plead for off balance sheet treatment. Regarding Sapra’s comment concerning compensation; spot-on.

Comment on FASB Fights to Restore Mark to Market by Paul

Paul — Fri, 07 May 2010 04:43:54 +0000

Warren Buffett was incorrect when he said that derivatives and cds’s have the potential to be weapons of mass destruction for the financial markets.They’re only vehicles. The destructive force lies within the enriched plutonium at the center. It’s so simple a sixth grader can figure it out. It’s Mark to Market accounting. By abandoning historical valuation of non liquid assets, ie. real estate, we allowed the market to be artificially inflated to high, and to be shorted to low. We have turned the real estate market into a commodities market and its as unpredictable as an orange crop. Municipalities are now suffering the wrath of falling tax revenues from falling asset valuations and so are several states. The end game appears to be U.S. debt. After Californias bonds get rated down to junk and some other states follow suit it will be up to congress to appropriate funds. Looks like more debt for us and more fast easy money for the predators. It started out as a bubble bath but its turned into a toilet bowl, its like a maelstrom in the center of the sea and were all riding the rim waiting to be sucked down into the deep dark abyss. Good luck to all. I’m an optimist, but I cant even afford to protect my real estate holdings that I own free and clear. They’re just liabilities now.

Comment on BOE — Suspending Mark to Market is “Moral Hazard” by Domenic Savini

Domenic Savini — Fri, 09 Apr 2010 16:27:37 +0000

I misspelled my name in the prior post: Domenic Savini

Thank you.

Comment on BOE — Suspending Mark to Market is “Moral Hazard” by Doeminc Savini

Doeminc Savini — Fri, 09 Apr 2010 12:24:34 +0000

Sir/Madam –

I am happy to see the intellectual honesty that M2M should ride up as well as down the escalator. That being said, I don’t think the real issue is whether or not to recognize (as earnings) changes in the fair value of these securites, but whether this information is adeqautely disclosed via the footnotes to the financials. Investors, creditors, regulators can all “do the math” for themselves if the amounts are clearly shown in the notes. Adeqaute disclosure over recognition should be the overriding consideration.

Comment on Mark To Market Morals by admin

admin — Fri, 05 Feb 2010 21:26:26 +0000

This is a test comment submission by marcel media