Finally Someone Is Going to Rate the Rating Agencies - Unfortunately, It"s Not a Very Trusted Source
After the 2008 economic collapse there were many people to blame, and some of the blame was put on the rating agencies or stamping everything Triple-A Rated, when many in hindsight we consider much of it was junk.
Of course, they aren't the only ones to blame, as there is plenty of blame to go around for what happened.
Now the United States government, and its regulatory agencies have stated that they will be watching over these big corporate credit rating companies that rate everything such as; sovereign debt, municipal bonds, corporate bonds, and multinational banks.
You see, the big joke was "who is rating the rating agencies," which has always been the comment with any authority or enforcement group assigned to looking out for the best interests of everyone else, namely; "who is watching the watchers?" Yes, well it is good to finally see that someone is going to rate the rating agencies, unfortunately it's hard to say if those who will now be doing the watching are a trusted source to do so.
After all, every time we turn around we see that the SEC has made mistakes and let a huge amount of fraud slip through its fingers, often right underneath its nose; Bernie Madoff scandal for instance.
Okay so, now it's time for might tirade; It's about time, however I find this problematic due to a conflict of interest, as these same rating agencies rate US Debt, and will the SEC go after them if they downgrade that, even if the debt ought to be downgraded.
Will the rating agencies do it in spite if they feel the government is being heavy handed? Well? Still, while the SEC is busy checking up on these rating agencies both big and small, well, while they are at it, ask these rating agencies why they didn't downgrade the corrupt Chinese banks - obviously, the rating agencies don't want to do that as they might be locked out of the great Chinese market for financial analyst information.
Sometimes, my mind tells me that the whole world is a scam and everyone knows it, and that so are all the regulatory agencies.
Worse everyone all went to the same schools, the lawyers on both sides government and business - it's a farce, a joke, and you can't trust anyone, and everyone knows it, crony capitalism has taken over.
Is my mind playing tricks on me, why do I think that? Simple observations my friends, and there is just too much evidence not to become cynical, but if we can't trust the system, then we've already lost.
Now then, that will be in might tirade, but maybe we need to talk about this more? Maybe we need a good sound solid national dialogue on business ethics, regulatory government ethics, and the crony capitalism which pervades our free-market, and inevitably prevents this strong global economy that we all seek.
Indeed I hope you will please consider all this and think on it.
Of course, they aren't the only ones to blame, as there is plenty of blame to go around for what happened.
Now the United States government, and its regulatory agencies have stated that they will be watching over these big corporate credit rating companies that rate everything such as; sovereign debt, municipal bonds, corporate bonds, and multinational banks.
You see, the big joke was "who is rating the rating agencies," which has always been the comment with any authority or enforcement group assigned to looking out for the best interests of everyone else, namely; "who is watching the watchers?" Yes, well it is good to finally see that someone is going to rate the rating agencies, unfortunately it's hard to say if those who will now be doing the watching are a trusted source to do so.
After all, every time we turn around we see that the SEC has made mistakes and let a huge amount of fraud slip through its fingers, often right underneath its nose; Bernie Madoff scandal for instance.
Okay so, now it's time for might tirade; It's about time, however I find this problematic due to a conflict of interest, as these same rating agencies rate US Debt, and will the SEC go after them if they downgrade that, even if the debt ought to be downgraded.
Will the rating agencies do it in spite if they feel the government is being heavy handed? Well? Still, while the SEC is busy checking up on these rating agencies both big and small, well, while they are at it, ask these rating agencies why they didn't downgrade the corrupt Chinese banks - obviously, the rating agencies don't want to do that as they might be locked out of the great Chinese market for financial analyst information.
Sometimes, my mind tells me that the whole world is a scam and everyone knows it, and that so are all the regulatory agencies.
Worse everyone all went to the same schools, the lawyers on both sides government and business - it's a farce, a joke, and you can't trust anyone, and everyone knows it, crony capitalism has taken over.
Is my mind playing tricks on me, why do I think that? Simple observations my friends, and there is just too much evidence not to become cynical, but if we can't trust the system, then we've already lost.
Now then, that will be in might tirade, but maybe we need to talk about this more? Maybe we need a good sound solid national dialogue on business ethics, regulatory government ethics, and the crony capitalism which pervades our free-market, and inevitably prevents this strong global economy that we all seek.
Indeed I hope you will please consider all this and think on it.