Date registered: Apr 2004
Location: The BlueGrass State
Mentioned: 0 Post(s)
Quoted: 3 Post(s)
So this is 4% of the TARP money that was already in plan in the second tranche. It was know that the LARGEST institutions would require the most assistance since they had the largest number of points of vulnerability.
The Stress Test provides two discreet yet connected bits of information. First, the health of the institution. Second, IF the institution is viable then how much it needs, if anything to stabilize.
The Stress Test is there to insure that the "good money after bad" issue does not come up. An institution that fails to make it through Gate 1 would not get TARP funds and would, like several have, be shut down.
Read ALL the information on the subject before jumping to conclusions.
Being smart is knowing the difference, in a sticky situation between a well delivered anecdote and a well delivered antidote - bear.