Raid on Wachovia Securiites.

Discussion in 'The Back Room' started by Terry O'Keefe, Jul 17, 2008.

  1. Terry O'Keefe

    Terry O'Keefe Well-Known Member Administrator

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    I'm not sure I understand what Auction Rate Securities are...can somebody give me an explanation?



    Wachovia
     
    Terry O'Keefe, Jul 17, 2008
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  2. BuckeyeT

    BuckeyeT Well-Known Member

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    TOK,

    auction rate securities are debt instruments - typically short term in duration - whose yield/interest rate is determined via an auction process...companies and municipalities used them to fund some elements of their operations. That market went down the crapper early in the credit crisis....
     
    BuckeyeT, Jul 19, 2008
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  3. Terry O'Keefe

    Terry O'Keefe Well-Known Member Administrator

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    I looked it up on Wikipedia....now I need to understand a Dutch Auction!! :)
     
    Terry O'Keefe, Jul 19, 2008
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