Treasury Will Match Up to $1.1 Billion to Spread Out the $40 Billion of Bad Mortgage Securities Debt

Fund managers put in $500 million, and can instantly double their money interest free to $1 billion to play the treasury market.  Really amazing game to play if you can raise that kind of cash. It is a win win situation for the fund managers who will be taking managing fee right off the top from taxpayer money just for matching the funds.

Unfortunately, if you are working class, you will not be able to participate in this game where the rich gets richer.

http://www.bloomberg.com/apps/news?pid=20601087&sid=agt0DDxEov6g

Government page with full details pertaining to the PPIP program.

http://www.financialstability.gov/roadtostability/publicprivatefund.html

Financial Firm Fir Tree See Opportunity in Depressed Mortgage Securities

Fir Tree raised $400 million from investors to invest in mortgage securities that may have undiscovered long term value. The fund will ride out short term swings as the mortgage market stabilizes. Maybe some D rated mortgage back bonds are really AAA rated. Only time will tell.

http://online.wsj.com/article/BT-CO-20090709-716890.html