Last week (15-21 Sep 2008)

Last week (15-21 Sep 2008) has been a memorable one for me.

The collapse of 158 years old Lehman Brothers sent chill to world wide investors. To add salt to the wound, AIG was on the verge to collapse. Thanks to US Fed which stepped in with tons of money to rescue US from entering into depression (not recession).

The stock indices went on a wild roller coastal ride. One day they were all high UP and the other day, they fell into bottomless pit.

Not many people could take such a sight with much ease.

Following the collapse of Lehman Brothers, their products called minibonds which were issued by them a couple of years ago were in deep troubles. These structured and complicated products were selling like hot cakes to thousand of conservative investors. They promised attractive interest rates over a few years and linked to big banks and financial institutions which were too big to fail.

Now we can only do nothing but to watch how more ugly scenes to be unfolded.