***Official SSSH LC/NC Thread for April***

[sethypooh21]

Originally Posted by Absolution

I never said I was blaming the guys for being short. The CDS market was designed as a balance mechanism for the market as I understand it. Some guys though seeded and designed investments purposely to fail so that they could have something to short. At some point balanced was reached with the CDOs and nobody was creating new ones. Then all of a sudden they were being created in record numbers and it looks like nobody really clued into why this was happening (except of course those creating them) until it was too late.

p.s. I'm an investment newb with just a fascination for this stuff so I'm sure I get a lot of the details wrong.

There certainly was SOME of this chicanery, but an axiom I tend to live by is to never attribute to malice what simple stupidity will explain. The basic answer is that by and large the finance community believed the hype that the housing market was always going to go up, therefore the underlying fundamentals of a loan didn't really matter, and they (the originator who sold the loan to a the bank and then the bank in repackaging the loan as part of one or more CDOs) could make risk free profits on them if they could only convince the ratings agencies to rate them highly. Funnily, given the incentives on a ratings agency (give a guy a favorable rating, and he comes back to you with more stuff for you to rate), this wasn't that hard a task.

edit: if you were to ask me what the real root cause is, my #1 answer might be traced to investment banks being publicly traded and widely held, which almost inevitably leads to a situation where the employees of said bank become risk-preferring, because **** it, they get paid (lots) not matter what, but they get paid even more lots if a gamble pays off big. If it's actually the partners at say Goldman (to name one) who's equity is at risk if the firm goes tits up, I would imagine they would exercise a fair bit more prudence and circumspection and probably make sure their employees are properly supervised.

edit edit: Also, it has never really been explained to me in a way that makes sense what ****ing purpose a CDO serves BESIDES giving people more to gamble on in such a way to obfuscates the true odds of the best in play?

[kwealert]

Originally Posted by Paul Valente

America! **** yeah!!
Cus freedom is the only way, yeah!

America! **** yeah!!
So kiss my butt and suck on my balls!


(http://www.youtube.com/watch?v=sWS-FoXbjVI)

Lol, the best part is when the ‘F*ck yeah’s’ get less enthusiastic when they list the stupid and inane ****. “Big T1ts!”, “F*CK YEAH!!!!!”… “Books!”, “Uh, f*ck yea?”

[Absolution]

Originally Posted by sethypooh21

Funnily, given the incentives on a ratings agency (give a guy a favorable rating, and he comes back to you with more stuff for you to rate), this wasn't that hard a task.

This is really the big issue here isn't it? It's the same with the creation of CDOs. The people putting them together get rewarded for their creation, not their performance. Maybe there is some reward if the CDO goes well, I'm not sure, but I know they collect huge fees and bonuses when one of these things gets created and bought up.

Edit: your edit says the same thing. I agree that this is the main issue here. Maybe the allowance of NINA mortgages in the first place was the other main issue, but if it wasn't NINA mortgages it would be something else probably.

[sethypooh21]

Originally Posted by that_pope

Too much political bull****, although it made the last 30 posts a breeze to go through since I didn't have to read them.

Yeah, **** educating yourself as to what is happening in the world around you.

[La Peste]

Originally Posted by sethypooh21

Yeah, **** educating yourself as to what is happening in the world around you.

Couldn't agree more.

[sethypooh21]

Originally Posted by Absolution

This is really the big issue here isn't it? It's the same with the creation of CDOs. The people putting them together get rewarded for their creation, not their performance. Maybe there is some reward if the CDO goes well, I'm not sure, but I know they collect huge fees and bonuses when one of these things gets created and bought up.

I mean it always comes down to the incentives.

[sethypooh21]

Originally Posted by La Peste

Couldn't agree more.

[x] added to the "why I hate poker kids" file.

[sethypooh21]

Anyhoo, enough of this goobledigook.

Fun month:

[Absolution]

Originally Posted by sethypooh21

Anyhoo, enough of this goobledigook.

Fun month:

Rakeback! Mine looks about the same although it cross the 0 line about 100 times along the way. Actually, that's my year.

[sethypooh21]

It's weird I think my last about 10 months have been U-shaped.

[La Peste]

Grabbed by Holdem Manager
Limit Holdem $3(BB) Poker Stars
SB ($84)
BB ($122)
Hero ($216)
UTG+1 ($84.50)
CO ($120)
BTN ($74)

Dealt to Hero J K

Hero raises to $6, fold, CO raises to $9, fold, fold, fold, Hero calls $3

FLOP ($22) 3 9 J

Hero checks, CO bets $3, Hero raises to $6, CO raises to $9, Hero raises to $12, CO calls $3

TURN ($46) 3 9 J 3

Hero bets $6, CO raises to $12, Hero calls $6

RIVER ($70) 3 9 J 3 J

Hero checks, CO bets $6, Hero raises to $12, CO raises to $18, Hero raises to $24, CO calls $6

CO shows A 4
(Pre 57%, Flop 13.4%, Turn 6.8%)

Hero shows J K
(Pre 43%, Flop 86.6%, Turn 93.2%)

Hero wins $115

[La Peste]

Same guy

Grabbed by Holdem Manager
Limit Holdem $3(BB) Poker Stars
SB ($85.50)
BB ($88)
UTG ($74)
UTG+1 ($83)
CO ($120)
Hero ($270)

Dealt to Hero J A

fold, fold, fold, Hero raises to $6, fold, BB calls $3

FLOP ($13) K 9 K

BB bets $3, Hero raises to $6, BB raises to $9, Hero raises to $12, BB calls $3

TURN ($37) K 9 K 3

BB bets $6, Hero calls $6

RIVER ($49) K 9 K 3 3

BB bets $6, Hero calls $6

BB shows Q 8
(Pre 38%, Flop 17.1%, Turn 9.1%)

Hero shows J A
(Pre 62%, Flop 82.9%, Turn 90.9%)

Hero wins $59

[Verno]

Originally Posted by La Peste

Grabbed by Holdem Manager
Limit Holdem $3(BB) Poker Stars
SB ($84)
BB ($122)
Hero ($216)
UTG+1 ($84.50)
CO ($120)
BTN ($74)

Dealt to Hero J K

Hero raises to $6, fold, CO raises to $9, fold, fold, fold, Hero calls $3

FLOP ($22) 3 9 J

Hero checks, CO bets $3, Hero raises to $6, CO raises to $9, Hero raises to $12, CO calls $3

TURN ($46) 3 9 J 3

Hero bets $6, CO raises to $12, Hero calls $6

RIVER ($70) 3 9 J 3 J

Hero checks, CO bets $6, Hero raises to $12, CO raises to $18, Hero raises to $24, CO calls $6

CO shows A 4
(Pre 57%, Flop 13.4%, Turn 6.8%)

Hero shows J K
(Pre 43%, Flop 86.6%, Turn 93.2%)

Hero wins $115

This stuff will happen for the entire month of May because of what I posted on your PTR. You are welcome sir.

[Wolfram]

Originally Posted by kwealert

Communism will never work. It goes against human nature. For two simple reasons:

1. Those in power will always want more power.
2. Those not in power will never have enough resources due to #1

Until you change human nature, communism will never be a workable system.

This just shows a lack of imagination.

If our society becomes sufficiently advanced it might remodel itself in a way that's best for the whole and not the individual. It's happened before.

There’s a reason the U.S. has developed into the wealthiest country with the highest standard of living

Try 13th (http://en.wikipedia.org/wiki/Human_D...ex#2009_report)

A lot of the top 10 have socialist leaning economic policies. Granted, they all have some form of free market economies as well.

I'm not arguing for socialism or communism (I'm a self-employed poker pro for gods sake). I'm just trying to keep an open mind.

[RonMexico]

/month

[x] tilt quit every session after 30 minutes of winning 0 pots
[ ] rakeback grinder
[x] 37k hand breakeven at 2/4+

aow[t7raseoihryhiobjfasidphbvas'dfiohb afdhvuah sdh;faihso;fba'sduiofhbvafds;ih