Monday, February 6, 2012

Mazi's Link O' the Day

I think the ending arguments of this piece are my favorite. It really all comes back to the same, staid axiom of finance: The unbreakable link between risk and return. Interestingly, people (bankers, etc..) have seen incredibly profitable investments, and assumed that the risk was low, that the PRICE of risk was low, simply because the models told them so. But, as TED asserts, if your risk falls OUTSIDE of the capital system, say, away from Wall Street and onto the shoulders of government, naturally, risk will appear much cheaper:

http://epicureandealmaker.blogspot.com/2012/02/apocalypse-ciao.html

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