Jupiter High-Grade CDO V – Hear No Evil, See No Evil, Speak No Evil.

The thing nobody wants to talk about even more than potential bank insolvency sounds like an outtake from the 1984 sci-fi classic, Dune. It’s called the Jupiter High-Grade CDO V.

Say that three times fast. It’s funny, I’ve seen virtually nothing about these Jupiter bonds and a google search on ‘Jupiter Bonds’ turns up just about nothing. You have to search ‘Jupiter High-Grade CDO V’ specifically and even then wikipedia doesn’t even have a mainstream breakdown. There is a reason this bond is hard to find. Nobody wants to find it. Not even MSNBC. Not yet. Nobody wants to know what its real value is because it would be very, very, very scary to find out. Soon enough, everyone will have to get familiar with it, because it’s going to emerge as a leading heavyweight contender vs. economic recovery. 

In short, the Jupiter High-Grade CDO V was one of the grand puba’s of packaged, leveraged, sold, then sold again, leveraged for a hundreth time bonds that doesn’t exist in real time or space, but is an ephemeral evil-lord of the underworld than can only be contemplated by applying laws of quantum mechanics and theoretical physics. This process is also referred to as ‘creative accounting’. At its worst. For more information you will have to sift through the net as if you were searching for gold. Jupiter High-Grade CDO-V is something you won’t hear, see or speak about. Until it’s too late.

In the bubble months and years BLD (Before Lehman Brother’s Died) this was the bond that kept giving.  We’ve quickly discovered something different now:  The Jupiter Bond giveth.  And the Jupiter Bond taketh away.  It taketh away all the bank money.  It taketh away the notion that markets can self regulate.  It taketh away some fundamental tenants of capitalism.  Welcome to Jupiter.  The next stop on the recession bus.