5 Aug 2008

Buffett to buy enough high-quality bond insurer assets pushed up the stock market

Various major banks in the bond insurer introduced last night in relief plan is facing new pressure. • Warren Buffett (Warren Buffett) had disclosed that he has made the acquisition of most of these insurers of the highest quality assets.

The net worth hundreds of millions of investors to CNBC said that he had proposed acquisition of three bond insurers - Ambac, MBIA and FGIC - secured 800 billion U.S. dollars of municipal bonds. This three companies are struggling to maintain its AAA credit rating. In the loan-to-appear after the loss, AAA credit ratings of these companies has become a business model for the survival of the party.

Buffett's intervention seems to be a New York insurance regulators Eric • Dina Luo (Eric Dinallo) permission. This pushed up the stock market, but by the bond insurers and their potential impact on the bank losses, it is a challenge.

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