22.09.2008 Other Voices: Capital adequacy, mark to market and leverage - US government debt levered too much could be more toxic than pool of defaulted, but unlevered assets
This article was authored by Shahriar Shahida, Chief Investment Officer at Constellation Capital Management LLC, New York.

The pathology of almost every failed entity reveals one dominant culprit: excessive leverage. Contrary to popular perception, the quality of assets held by the entity is almost a secondary factor in its demise. A portfolio of perfectly safe US government debt levered too

Article source: http://www.constellationcapital.com - Opalesque is not responsible for the content of external internet sites
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