Greece CDS sellers payout $2.89 billion to settle contracts
Hopefully this will work out in the end and this nation among others will get their budget and entitlements in order. At the end of the day, you need to have services that match what you can tax from your people so that you are not incurring debt that can have disastrous effects in the long run.
This is a major issue America will tackle over the next 50 years and hopefully we will learn a lesson that will stick with our citizenry and be taught to future generations. We need to break this horrible habit of believing there is such a thing as a “free lunch”. There always is a cost at some point that needs to be addressed and or offset.
Bloomberg – Banks, hedge funds and other investors that sold credit-default swaps protecting against losses on Greece bonds paid a net $2.89 billion to settle the contracts, according to the Depository Trust & Clearing Corp.
The payouts were completed yesterday after the nation took steps to force investors this month to participate in the biggest sovereign-debt restructuring in history, New York-based DTCC, which runs a central repository for the market, said in an e-mailed statement today.