Woman makes $420k by buying insurance on flights she predicted would get delayed

Re:Woman makes $420k by buying insurance on flights she pred... by Puts on Monday June 15, 2020 @05:59AM (#23525654)

It's actually interesting that a lot of countries has laws regulating gambling because of how destructive it can be for an individuals economy, life and general health. Yet, it's still possible for rich people to gamble using thousands of peoples homes and jobs as insert on the stock-market.

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Re:Woman makes $420k by buying insurance on flights she pred... by rbinv on Monday June 15, 2020 @06:12AM (#23525738)

> Yet, it's still possible for rich people to gamble using thousands of peoples homes and jobs as insert on the stock-market.

Trading instruments like mortgage-backed securities does not constitute "gambling with people's homes." It's not like someone's taking your home away just because of some CDO trades.

"Activist investing" (think Icahn) might, albeit indirectly. But that certainly doesn't make up a big chunk of the market and its activites.

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Re:Woman makes $420k by buying insurance on flights she pred... by Legogris on Monday June 15, 2020 @06:21AM (#23525799)

2009 disagrees.

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Re:Woman makes $420k by buying insurance on flights she pred... by rbinv on Monday June 15, 2020 @06:42AM (#23525928)

Who exactly lost their home while paying their mortgage on time?

I'm not saying that the GFC wasn't massive (it was) or that people didn't lose their jobs and homes (many did), but MBS were not at fault. Subprime lending was, among other factors.

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Re:Woman makes $420k by buying insurance on flights she pred... by ashtonkem on Monday June 15, 2020 @07:05AM (#23526060)

MBS were the engine that kept a housing mania going. But as you said, they didn’t make people over leverage their own houses.

Arguably the originator banks deserve a lot more blame for that, since they actually were the ones willingly handing out bad loans and/or encouraging bad consumer practices.

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Re:Woman makes $420k by buying insurance on flights she pred... by Cthulhu_ on Monday June 15, 2020 @08:13AM (#23526487)

How many people lost their jobs and got into financial problems, is the question you should be asking.

Answer: unemployment went from 4.6 to 10%, and it took eight years to recover: http://infographic.statista.com/normal/chartoftheday_8974_us...

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Re:Woman makes $420k by buying insurance on flights she pred... by ketzu on Monday June 15, 2020 @06:14AM (#23525748)

A lot of countries have laws regulating stock markets.

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