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...Nearing their terminus, the bonds fall into the laps of yet another culpable party: hedge funds. The incentive structure of hedge funds depends on maximizing return each year—rather than lowering the riskiness of its portfolio or pursuing long-term growth, or even solvency. Thus, in many cases these funds snap up the purportedly AAA securities, leveraging their positions skyward, and happily taking high yields...

Author: By Jeffrey D. Nanney | Title: Greed Is Not Good | 2/11/2008 | See Source »

...could make a living in digital art and gaming. "Having Lucasfilm here really legitimizes the field as a career choice for Asians," Ho says. Not all of Lucasfilm's talent in Singapore is homegrown. Canadian Kalene Dunsmoor, 27, was designing motorcycle decals in Toronto when she sent her portfolio on a whim to a Lucasfilm recruiter. Now she works in Singapore, collaborating with Lucas' iconic special-effects shop Industrial Light & Magic to add computer-generated imagery to films including the Harry Potter and Indiana Jones series. "They were willing to take a chance even though I didn't have conventional...

Author: /time Magazine | Title: Fantasy League | 1/31/2008 | See Source »

...BofA agreed on Jan. 11 to buy Countrywide for about $4 billion in stock, acquiring Countrywide's $1.5 trillion loan portfolio along with its battered reputation and a swamp of lawsuits. You could almost hear the sighs of relief coming from Wall Street - not to mention the Treasury Department and Federal Reserve - that someone had swooped in to prevent the collapse of the nation's largest mortgage lender and whatever else it might pull down in its wake. CreditSights analyst David Hendler called the deal a "rescue bid" that would give the markets some much needed stability. The irresistible headline...

Author: /time Magazine | Title: The Savior of Countrywide? | 1/17/2008 | See Source »

...corn that currently goes to make most biofuel in the U.S., but it does have vast acreage that could be used to raise waste crops for cellulosic ethanol in the future, or biodiesel today. Schweitzer points out that his administration was able to pass a renewable energy portfolio standard, mandating that 15% of the state's power come from alternative sources by 2015. That's exactly the sort of standard - intended to speed the development of renewable power - that Congress wasn't able to keep in the new energy bill, passed last month. (The renewable portfolio was stripped...

Author: /time Magazine | Title: What Washington Can Learn from Montana | 1/14/2008 | See Source »

...International Monetary Fund as part of servicing its enormous $28.6 billion in foreign debts. Bhutto had raised taxes, which raised the level of discontent in the country. But even so, her government did not collect enough revenue. In an effort to appease the IMF, Bhutto gave up the finance portfolio she had held since retaking the government. "The debt servicing is breaking our backs - debt that I didn't incur," she told TIME. "But as Prime Minister, I have to pay it back." Rumors soon spread that her government would be dismissed. "Rubbish," she said. But that is exactly what...

Author: /time Magazine | Title: Benazir Bhutto (1953–2007) | 12/27/2007 | See Source »

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