Comments on: Bicycle Stability Versus Table Stability — II http://alephblog.com/2009/01/03/bicycle-stability-versus-table-stability-ii/ Helping Institutions and Ordinary People Invest Better by Focusing on Risk Control Sun, 12 Feb 2012 22:02:53 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: David Merkelhttp://alephblog.com/2009/01/03/bicycle-stability-versus-table-stability-ii/comment-page-1/#comment-20630 David Merkel Wed, 07 Jan 2009 20:47:24 +0000 http://alephblog.com/?p=1304#comment-20630 One final note here -- financial risk models correspond to bicycle stability, while cash flow driven actuarial models correspond to table stability. One final note here — financial risk models correspond to bicycle stability, while cash flow driven actuarial models correspond to table stability.

]]> By: VennDatahttp://alephblog.com/2009/01/03/bicycle-stability-versus-table-stability-ii/comment-page-1/#comment-20605 VennData Tue, 06 Jan 2009 02:12:28 +0000 http://alephblog.com/?p=1304#comment-20605 Manhattan Real Estate has wide bid ask spreads. Manhattan Real Estate has wide bid ask spreads.

]]> By: retail_guyhttp://alephblog.com/2009/01/03/bicycle-stability-versus-table-stability-ii/comment-page-1/#comment-20601 retail_guy Mon, 05 Jan 2009 15:07:41 +0000 http://alephblog.com/?p=1304#comment-20601 David- I absolutely love the Bicycle versus Table stability concept. It is elegant in its simplicity. David-

I absolutely love the Bicycle versus Table stability concept. It is elegant in its simplicity.

]]> By: Mcwophttp://alephblog.com/2009/01/03/bicycle-stability-versus-table-stability-ii/comment-page-1/#comment-20599 Mcwop Mon, 05 Jan 2009 13:37:40 +0000 http://alephblog.com/?p=1304#comment-20599 My (and others) current hypothesis, which still needs vetting, is that during this crisis banks are buying treasuries (including with TARP monies) trying to recapitalize, and put more credit worthy assets on their balance sheets. If treasuries are indeed "in a bubble", then if that market drops, do we have another round of marking to market? I guess at least there is readily available pricing for treasuries. My (and others) current hypothesis, which still needs vetting, is that during this crisis banks are buying treasuries (including with TARP monies) trying to recapitalize, and put more credit worthy assets on their balance sheets. If treasuries are indeed “in a bubble”, then if that market drops, do we have another round of marking to market? I guess at least there is readily available pricing for treasuries.

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