Category Archives: insurance

MBIA’s New Structure

It’s taken rather longer than anybody exepected, but MBIA has finally put in place its long-promised plan to split up the company into its component parts, with the relatively strong public finance insurer getting a new name — National Public … Continue reading

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Why We Need Federal Insurance Regulation Now

Rolfe Winkler has a great post on Allstate’s finances today, which underscores two things: the urgency of massive regulatory overhaul in the financial sector, and the necessity of including insurance companies under the unified financial-services regulatory umbrella. Unless and until … Continue reading

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Frenkel Scuttles Away From AIG

In AIG’s last annual report, there’s a list of 31 "directors and executive officers of AIG" (it’s page 69 of the PDF, page 15 of the 10-K). On the list is vice-chairman Jacob Frenkel: we are told that he has … Continue reading

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AIG’s Speculative CDS Bets

Did you know that AIG has a Blog Relations department? For real. They sent out a big email earlier today, which wound up in places as varied as Dealbreaker and Welt Online, taking issue with the WSJ’s story about them … Continue reading

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Morning IM

Over at Clusterstock, I’m discussing the stories of the morning with Joe Wiesenthal and John Carney. So far the main topics of discussion are AIG (yes, it wants another bailout) and the idea that Treasury might start issuing 100-year bonds. … Continue reading

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Greenberg’s Chutzpah

Hank Greenberg didn’t like AIG Bailout I, nor AIG Bailout II. So he’s pushing for AIG Bailout III, which will be even nicer to AIG’s shareholders, such as Hank Greenberg. More needs to be done to save AIG. A new … Continue reading

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Berkshire’s Puts: Not Such a Great Idea

Andrew Clavell delves into the murky world of Berkshire Hathaway’s equity put contracts, and concludes: The put owner has been forced into purchasing a lot more credit cover in a nasty cross gamma effect. No wonder BRK’s credit spreads have … Continue reading

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Berkshire’s CDS and Counterparty Hedging

In Barron’s this weekend, Andrew Bary brought up the subject of Berkshire’s credit default swaps, and why they’re trading at such a wide level: The Street talk is that Berkshire’s counterparties, believed to include Goldman, are worried about their Berkshire … Continue reading

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Berkshire Hathaway’s Peculiar Volatility Numbers

I just got off the phone with someone who’s been making good money shorting Berkshire Hathaway stock in the past few weeks; he pointed out to me something very peculiar in Berkshire’s public statements. First, look at the 10-Q for … Continue reading

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What’s Happening to Berkshire Hathaway?

Jonathan Stempel of Reuters has a very useful look at what’s going on at Berkshire Hathaway, which fell $6,500 per share today to close at its lowest level in over five years. After reading his article, I think we might … Continue reading

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