Lehman Brothers was the fourth-largest investment bank in the United States. It was considered one of Wall Street's biggest dealers in fixed-interest trading and was heavily invested in securities linked to the US sub-prime mortgage market.
With these investments now shunned as high risk, analysts say it was inevitable that confidence in Lehman Brothers would likely be hit - particularly after the collapse of Bear Stearns earlier this year.
In its June to August period last year, the bank said it would make write downs of $700m as it adjusted the value of its investments in residential mortgages and commercial property.
One year on this figure soared to $7.8bn, which last week resulted in Lehman reporting the largest net loss in its history. The bank also admitted that it still had $54bn of exposure to hard-to-value mortgage-backed securities.
As a result, Lehman saw its share price plummet more than 95%. Despite having access to cash reserves, worried investors pummeled the firm's shares last week after talks to raise billions of dollars from outside investors ran into a brick wall.
During this collapse, we all were aware of the fact that all currency pairs contain whether as a base or counter currency was suffering fluctuation because of the bad conditions the dollar was suffering. However, as ForexGen has the greatest trading station and financial analysts, ForexGen presents its hands for providing all clients with the best solution for this problem. ForexGen provides its clients with the best timeframe to perform their trades. And because ForexGen cares for the financial asset of its clients and because ForexGen seeks the general benefit for all, ForexGen experts were making their studies and updating for their analysis every hour to help ForexGen sending the right time for ForexGen clients to perform their trading activity successfully. And hence, the majority of ForexGen clients could overcome any financial damage could have been happened.
0 comments:
Post a Comment