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...While proposed solutions help fix conflicts of interest, more inevitably arise. A simple alternative would be to return to the “investor-paid” model that rating agencies followed pre-1968, when S&P began charging issuers for ratings, in addition to the subscription fee they had always collected from investors who used the ratings. Yet, as many firms argue—both in 1968 and in recent months, when the model has again been proposed as a viable solution—relying solely on a subscription service does not bring in enough revenue to allow rating...

Author: By Noah M. Silver | Title: Risky Business | 4/21/2009 | See Source »

Steve Rattner had never focused on the auto industry before. So yes, he was an odd choice to be a special adviser to the Treasury Department on its dealings with Detroit car manufacturers. And even though he was known mostly for his work as a journalist and as an investor in various media companies, Rattner got right to work, reportedly helping to engineer the ouster of General Motors CEO Rick Wagoner just weeks after joining the Administration...

Author: /time Magazine | Title: Obama Car Guru Steve Rattner | 4/20/2009 | See Source »

...Lang Son near the country's northern border to push back enemy troops. Both sides suffered horrific losses, but Vietnam eventually proclaimed victory. Decades later, diplomatic relations have been restored and the two nations, at least in public, call each other friend. Vietnam's former foe is a major investor in the country, bilateral trade is at an all-time high, and tourists, not troops, are pouring...

Author: /time Magazine | Title: In Vietnam, New Fears of a Chinese 'Invasion' | 4/16/2009 | See Source »

...there is anything good about the stock market catastrophe it is the skepticism that has become a part of the investor's way of thinking. Intel traded down because Wall St. read its comments as a "false positive." Investors look at its vague statements as being the equivalent of misleading. Intel clearly did not have any sinister intentions. It just hinted at something that isn't true because the broader economy does not lend it any credence...

Author: /time Magazine | Title: Intel and the PC World: The Investor Feels Betrayed | 4/15/2009 | See Source »

...bonds don't seem particularly cheap even though munis now yield more than Treasuries. Indeed, Gary Strumeyer, head of capital markets at Bank of New York Mellon, says munis are no longer in the same rock-solid category as Treasuries, so it's not even a fair comparison. "Every investor needs to understand the many risks associated with purchasing muni bonds these days," he says...

Author: /time Magazine | Title: Rising Risks in Muni Bonds Worry Investors | 4/13/2009 | See Source »

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