[kwis]

> By new insurance products you probably meant something like CDS? Or credit rating agencies using those improvements in risk analysis to rate those CDO's as AAA+++ would buy again?

I made a list of a dozen or so recent, top-level financial innovations (each of which has created many billions of dollars of value), and instead of recognizing that they had massive impact, you ignore all but one of them, redefine the remaining one from 'insurance product' to a credit derivative, and then attack it because of recent, well-known issues with mispriced credit and failures to account for counterparty risk when dealing with mortgage-backed products.

That's beyond disingenuous.

Have a nice day.

[tabsa]

You didn't recognize how you did just the same with bitcoin - taking out one of the value points and creating strawman out of it?

1. CDS is basically an insurance product: http://en.wikipedia.org/wiki/Credit_default_swap

2. I mentioned CDO just as an example of "risk analysis" failure by credit rating agencies.

I did this to point what kind of innovation you are talking about in your impressive list of acronyms that you mentioned in your first post.