Talk about gall. When are these folks going to be shutdown?
S&P Considers Rating Subprime-Backed Securities Higher Than U.S. Government
S&P is considering assigning an AAA rating, its highest possible grade, to 59 percent of a set of bonds known as Springleaf Mortgage Loan Trust 2011-11, Bloomberg reports. The Springleaf portfolio is backed by $497 million in subprime loans.
Currently, Standard & Poor's rates U.S. Treasury bonds at AA-plus, one notch below triple-A. If the agency assigns the Springleaf bonds a triple-A rating, it would suggest that S&P believes the subprime-backed securities to be a safer investment than Treasuries, even though three years ago, subprime mortgages played a large role in triggering a market panic, an implosion of the financial sector and ultimately a global recession.
http://www.huffingtonpost.com/...
Perhaps some financial gurus here can explain a rational reason for this. It sure sounds to me like these folks need to be investigated.