Pericles, thought you'd like this extract from the Casey Research web site about the author quoted above re that "There are about $700 trillion of derivatives worldwide in a $70 trillion economy. It’s pretty easy to see that there cannot possibly be enough collateral backing."

"David Webb is a Sweden-based hedge fund manager and founder of Origin Investments, AB. You may have never heard of him, but in the hedge fund world Webb is considered something of a phenomenon – thanks to his exceptional track record of using neutral long/short equity strategies to profit even through the most challenging markets, producing a cumulative return of 258% between September 1, 1998, and November 9, 2002, the period leading up to and including the dot-com crash. Discussing his performance after markets crashed following 9/11, the Hedge Funds Review said, "The recent terrorist attacks, which created the single worst week in the history of the US equity markets, didn't take David Webb out of his game. The US equity markets might appear to be in a state of endless free-fall, leaving ordinary investors with their incredibly shrinking portfolios, but don't expect to see a frown on the face of Webb. So far this year, Webb has seen the $1bn hedge fund that he manages gain a whopping 40%. And this comes on the heels of a 56% gain last year." David will be flying in from Sweden to discuss the paradigm collapse he sees ahead, and how to invest."

I'm not prepared to pay the $385 to get the Casey Research 2012 Summit MP3 downloads to verify the quotation (about rehypothecation I think) and its context - or lack thereof.

But Arjay and OUG taking the word of a hedge fund manager... mmmm?

That's reason enough for me to buy a lottery ticket. If I win I could even buy some gold. Though I think Platinum less volatile.

Off subject yes, but you can grow enough food to feed three family's on 1000m2.
Including some fruit .
OUG my shares via super are not pooled.
But worthless if the bottom falls out.
My food crop however will feed me and others.

WmTrevor let's do the maths for poor Pericles.Divide $ 70 trillion by the world's pop of 7 billion.This means that every person on this planet should be worth $100,000.If the GDP of the planet is 70 billion and Pericles says that derivatives are a type of insurance,who would insure their assets for 10 times their worth.The premium would be astronomical and so it has become.

I note that the NAB is offering the best home loan rates.They have the greatest debt exposure via derivatives and are trying to suck in real assets via loans to sure up their derivative liability.I know that they borrowed at least $3 billion from the US Fed in 2008.

Barnaby Joyce says that our banks have a $15 trillion derivative exposure with $2.66 trillion in assets of which these are loans still being paid off on properties that are 40% over valued.

We have the perfect storm for and absolute collapse and total anarchy if we do not triage the derivatives from our real productive economy.That was the Glass Steagall Act that was instigated during the Great Depression of 1933 to stop all this theft.Bill Clinton removed this and thus we have the debacle of the present.

Pericles must stop being in denial.These international banksters have far too much power and they are the ones creating this whole crisis and pushing for war with China and Russia.

belly my point was monsanto
bought up over 90 %..of seed suppliers
their seeds only work with their chemicals..but the mutations the put into them..they own..if they find their genes in your food they wil take it..
http://12160.info/profiles/blog/show?id=2649739%3ABlogPost%3A1015624&xgs=1&xg_source=msg_share_post

but that 's later
http://activist-post-forum.947009.n3.nabble.com/Dental-Amalgam-Silver-Fillings-and-Cancer-Is-there-a-Connection-with-video-tp4025169.html
today

Dead or Dying: Killer Capitalism of Exploitation, Outsourcing, Retrenchments, Greed, War Profiteering.

What Kind of Company Do You Work For?
Growing Up: Creative Capitalism:
Progress and Prosperity, Teamwork, Stock Options, Profit Sharing.



By translating paper money into debt, primarily through war,
bankers have accumulated unspeakably vast fortunes, swindling governments and their citizens with high interest rates that have brought debt beyond anyone’s or any country’s ability to repay, ever.


Which means foreclosure or theft of a nation’s assets.

http://beforeitsnews.com/economy/2012/10/killer-capitalism-exploitation-outsourcing-retrenchments-greed-war-profiteering-creative-capitalism-progress-and-prosperity-teamwork-stock-options-profit-sharing-what-kind-of-company-do-you-2455936.html

or ,maybe tomorra
Massive COMEX Silver Withdrawal on Friday -
3.6 Million Ounces withdrawn from Brinks

http://fromthetrenchesworldreport.com/massive-comex-silver-withdrawal-on-friday-3-6-million-ounces-withdrawn-from-brinks/23599/

There was a massive silver withdrawal out of the Comex on Friday. Over the past week, there has been a steady increase in the total amount of silver in the Comex warehouses.

However, in one huge withdrawal, 3.6 MILLION OUNCES, a whopping 17% of Brinks total REGISTERED silver inventory was removed on Friday. I have not seen such a large withdrawal from the registered category for quite some time.
http://poorrichards-blog.blogspot.fr/2012/10/fiat-currency-and-emerging-police-state.html

Most Americans do not understand what “derivatives” are,
so they kind of tune out when people start talking about them.

But they are very important to understand.

Essentially, derivatives are “side bets”.
When you buy a derivative, you are not investing in anything. !

You are just gambling that something will or will not happen.

A Major “Derivatives Crisis” Is Coming,
http://investmentwatchblog.com/a-major-derivatives-crisis-is-coming-the-whole-world-would-be-thrown-into-a-state-of-chaos/
The Whole World Would Be Thrown Into A State of Chaos

why?
Another Obama Executive Order
Allows Seizure of Americans’ Bank Accounts



The latest executive order (EO) emanating from the White House October 9 now claims the power to freeze all bank accounts and stop any related financial transactions that a “sanctioned person” may own or try to perform —

all in the name of “Iran Sanctions.”

http://thenewamerican.com/usnews/constitution/item/13196-another-obama-executive-order-allows-seizure-of-americans%E2%80%99-bank-accounts

dont yas just love war
http://investmentwatchblog.com/it-is-no-coincidence-that-the-century-of-total-war-coincided-with-the-century-of-central-banking-ron-paul-end-the-fed/

morgan stanlies lies
http://www.businessinsider.com/morgan-stanley-weak-trade-and-declining-domestic-capex-point-to-weak-q4-gdp-2012-10#ixzz29Eco2yv8

plus of course the deneyal
http://www.bloomberg.com/news/2012-10-13/greece-will-probably-leave-euro-within-six-months-borg-says-1-.html
http://mandelman.ml-implode.com/2012/10/no-surprise-arizona-court-rules-mortgage-settlement-funds-dont-have-to-help-homeowners/

http://xrepublic.tv/node/597
http://theautomaticearth.com/Finance/what-happens-when-the-core-starts-to-rot.html

pery hasnt heard of the 11 th mar-bell
http://whatreallyhappened.com/WRHARTICLES/11thmarble.php

Thanks WmTrevor. Those sites make fascinating reading, don't they.

>>Pericles, thought you'd like this extract from the Casey Research web site about the author quoted above...<<

It's all follow-my-leader, though, in the chase to extract multiple $395 "subscriptions" from the gullible public. They all rely on telling ever bigger fibs in order to attract their paying audience. Or marks, as I believe they are called in the fraud business.

It won't be long, I suspect, before that $700 trillion gets upgraded, because it simply isn't scary enough - ooops, it has already happened!

As the blogger "Davos" remarks, in an unsubstantiated aside...

"... by the way, the figures I’ve seen on OTC derivative market cap tough 1.6 quadrillion, not 700 trillion."

http://www.psychopathiceconomics.com/DavosEconomicForum/2012/10/14/you-do-not-own-your-stocks-hyptohication-rehypothication-drs-street-name-registration/

You read it here first. The next favourite number that Arjay and his mate one under god will be "quoting" will be in the quadrillions, not those petty little trillions.

What fascinates me most, though, is that not one single commentator who has jumped on the $700 trillion/$70 trillion doom'n'gloom bandwagon has attempted to give their impression on what might actually happen in real life, should their scenario of 10x overstretched assets "collapsing", actually come to pass.

Who will end up with the money? What will it be worth? What will they buy with it, and from whom?

One thing's for sure and certain. Sitting on a pile of gold is not going to help