Sunday, March 16, 2008

Bear Stearns

Bear Stearns
One of the original inductees to the Hall of Shame. Where are they today? See below! BWAHAHAHA

Buh-Bye, Bear!
2008-03-16: J.P. Morgan to Buy Bear Stearns
J.P. Morgan Chase agreed to buy Bear Stearns for $2 a share in a stock-swap transaction, people familiar with the matter say. J.P. Morgan will exchange 0.05473 shares of its common stock per one share of Bear Stearns stock. Both boards have approved the transaction.

They appear to have a systemic lying problem. LOL
March 15, 2007

Memo to Bear Stearns, YOU'RE FU**ED!!

Bear Stearns Asset Management Funds go bankrupt: High-Grade Credit Strategies fund, High-Grade Structured Credit Strategies Enhanced Leverage Fund
Aug. 7, '07: Bear Stearns Caymans Filing May Hurt Funds' Creditors
(Bloomberg) -- Bear Stearns Cos.' decision to liquidate two bankrupt hedge funds in the Cayman Islands instead of New York may limit creditors' and investors' ability to get their money back.

Aug. 1, 2007: Bear Stearns hedge funds file for bankruptcy
Take the money and run, Bear!! BWAHAHAHA

And here is the most damning piece of evidence that Bear Stearns was manipulating the market while they prepared for the bankruptcies.
March 15: Mortgage-backed securities problem is contained,...
no wait,...
June 22: Problem is NOT contained
And now we learn they were trying to "help" smaller investors. Oh, how generous.
Failed Bear Stearns funds invited smaller investors

Ok, what is Bear up to, now...
2008-02-08: Bear Stearns Is `Short' Subprime Mortgages $1 Billion
. . . . . . . . Rot in hell, Bear Stearns!

Oh, what a tangled web we weave, Bear Stearns... you bums!
2008-03-14: Bear Stearns bailed out by Fed, JPMorgan
NEW YORK - Bear Stearns Cos., one of Wall Street's venerable investment banks, received a bailout Friday by the federal government and JPMorgan Chase & Co. in a surprise, last-ditch effort to save the 86-year old institution.

2008-03-14: Pathetic Bear Stearns Bailout: Who to Blame
Bear Stearns (BSC) has been forced to run hat in hand to the Fed and whimper that it's "too big to fail," the mewling is about to begin:
• It's not our fault! It's a run on the bank!
• We never could have seen this coming!
• Blame those jerks who stopped lending us money!
Give us a break. If Bear Stearns goes to zero, there will only be one party to blame: Bear Stearns management.

MMmmmm... Bear Stearns for lunch.


Russ DoGG said...

Bear Stearns also tried to pawn off this junk onto retail investors: through an IPO caled Everquest Financial. When the institutional investors were too smart to buy this crap, they tried to pawn it off onto retail suckers, but eventually gave up on that.

Bear Stearns' Subprime IPO

Everquest Financial is going public with risky mortgage bets purchased from its underwriter’s hedge funds

by Matthew Goldstein
BW Exclusives

Never underestimate the ability of a Wall Street investment firm to find a new way to pawn off risky assets onto retail investors. The latest example? The initial public offering for Everquest Financial.
Bear Stearns' Bad Bet

They barely mention that a large formerly-respected Wall St firm was trying to con clients in order to shift investment losses off of its own books.

I would be shocked to discover this type of behavior in a firm I did business with, and would never take seriously their advice. But there it is (or was) for all to see and nobody even apears to be the little-bit red-faced about it.

Russ DoGG said...

More on Everquest:

"Everquest is a fledgling financial-services company that has been buying up equity interests in risky bonds backed by subprime mortgages from hedge funds managed by Bear Stearns (BSC)—one of Wall Street’s biggest underwriters of mortgage-backed securities and other exotic mortgage-related bonds. The deal appears to be an unprecedented attempt by a Wall Street house to dump its mortgage bets."

"The potential for conflicts of interest that would hurt investors buying such an IPO are “mind boggling” because buyers would need to rely on securities firms to assign prices to assets that have no ratings, don’t trade often and are difficult to value, said Janet Tavakoli, president of Tavakoli Structured Finance Inc., a Chicago-based consulting firm."