from #TheBigShort (2015), regarding credit default swaps which were used to bet on the collapsing housing market / mortgage backed securities:

"let me put it this way: I'm standing in front of a burning house, and I'm offering you fire insurance on it."

#CreditDefaultSwap #CreditDefaultSwaps

https://youtu.be/3hG4X5iTK8M?t=200

@laurend there is a reason why regulatory agencies try to protect customers from speculatory investment… unfortunately, every time a bubble pops (#SnakeOil, #CDO, #CreditDefaultSwaps, etc), conmen just invent another form of promising quick buck with “no risk”… and there is always people willing to give conmen their money… the big investors cut their losses, but the small investors suffer.