Monday, March 15, 2010

60 Minutes Last Night

The 60 Minutes show last night included a piece about the recent financial crisis titled "Wall Street: Inside the Collapse". They interviewed Michael Lewis (the guy who authored the book in my previous post). Even though it included shameful plugs for his new book, it was still interesting. For the record: I just ordered his new book (The Big Short).

I was intrigued with the part of the show that told of the doctor who became a money manager and who had properly perused the prospectuses of the mortgage backed securities and their associated CDS, only to learn that it would all go bust. So he bought into the CDS (basically insurance), betting on the failure, and he made millions of dollars. That's a sweet reward for the little guy who does his homework.

Here's the link to the 60 Minutes show.

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