High Time for Wall Street Vultures

By
David Tepper, the brass-balled king of buying low. Photo: Bloomberg

According to the Times, we are currently living through a moment that some dudes with gobs of cash call the "Great Liquidation," because scavengers with MBAs are picking through all the crap sitting on the balance sheets of big, bailed-out banks and buying what they find at a discounted rate:


“You’re going to see over the next five years, more financial asset liquidations than you’ve seen in the sum total of the last 100 years,” said Peter L. Briger Jr., who oversees $12.7 billion of credit-related private equity and hedge fund investments as co-chairman of the Fortress Investment Group. “If you’re in the market for financial services garbage collection, there’s plenty to do right now.”

Basically, we're all David Tepper now, and stuff like securitized commercial real-estate loans and financial businesses that places like Goldman Sachs can't — or don't want to — manage are now being snapped up by firms that are even less regulated than the biggies. What could go wrong?

Negotiations With Banks Begin For Troubled Assets [DealBook/NYT]