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helianer

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helianer
·3 lata temu·discuss
This only really works if the hirer has used latex themselves. If you know you know.
helianer
·3 lata temu·discuss
I’ll often ask “what are the problems with doing X?”.

It doesn’t imply that there should be a solution but you still want to learn why it might not work. Often you can continue the conversation enough to either exclude it or think some more about the problems that are described.
helianer
·3 lata temu·discuss
Anyone who is capable of getting a second mortgage will consider holding it and renting it out if they can. The yield is very likely to be higher than the payments these days.
helianer
·3 lata temu·discuss
Sure, but they could have sold off a lot of their long term assets earlier instead. To me, the problem was not an outright lack of hedges, rather it was continuing to take too much risk all of the way down. Hedges only make sense to me if they were a cheaper way to achieve the same thing as selling the assets.
helianer
·3 lata temu·discuss
Why would they hedge? They would lose pretty much all of the return that they were getting by going long duration.

The problem is that their portfolio was too long duration, not a lack of hedging.