relax breh. I brought up the conservative funds as examples to show they are looking at bitcoin with long-term horizon, not something to trade out of once New Coin X comes along. and I wouldn't really compare risky subprime mortgages to being just like bitcoin either.
That's wrong. Enough to-and-fro but I can't let that slide .. Junk debt "risky subprime" is not investment grade ma breddah ...
They were not "sub-prime securities". They were melange securities built through mezzanine securitisation. Flawed but accepted (incorrectly) as investment grade anyway.
Mezzanine AAA rated investment grade CDO's intended for long hold - unlikely to collapse in value.
That's sort of the point. They were purchased by long-term investment firms (particularly in Germany) and were marked for long-term hold (with the keys up a mountain"). When the chips were down they had to sell. Just as they could and would do with any "investment grade" asset that was
collapsing in value.
You suggesting they hold and do not sell between purchase and redemption/maturity or closure is incorrect. You suggesting that they do not distress sell is wrong.
Anyway enough of that