AAA

_freckles__

Like QQQ, there should be a new ETF called AAA it will contain all the poor performing companies that are highly speculative and volatile. So whoever invests in it, will keep saying AAAAAAAAAAAA everytime they look at their portfolio. and there be a XXX Etf, like the name says, it will include all companies related to spicy adult stuff only, like OnlyGrans for example.

hexcraft-nikk

They are still hedging on terrible decisions. Common sense should have been to expand within their market- and options there are limited. Video game development is expensive on the AAA side, but chasing the gatcha or mobile markets could've been an opportunity. Instead they're making Bitcoin deals and throwing their dick around with eBay. Terrible leadership only surviving because of memes.

That-Account6064

so S and P was willing to get bribed to rate mortgage backed securities as AAA, but now they are too good for Elons bribe?

Open_Pollution_8038

Most companies are not AAA, AA, etc etc. You can’t just go ask for $10B from bondholders in a week unless you’re Google / MAG 7. They also need the capital right now now 2 months from now.

jollyGreenGiant3

This investment is triple AAA rated boys!!!

80sCocktail

I could still play bf1. The ww1 game. But I skipped all the AAA releases the past few years. Could still play gtav and rdr2 but that dragged hard.

Average_TechSpec

07's crash was because of Lehman Brother's AAA junk bonds that were truly F tier.... This is nothing like 07, so please go back to tiktok and calm down with that tinfoil hat of yours

BJ_Fish2

I think it's a great buying opportunity right now to be honest. Right now you have all of those game festivals going on and a bunch of announcements. And then you have the World cup. I see no reason for Rockstar to have to do anything with marketing until maybe end of June or sometime in July. I'm not worried whatsoever. It's coming out November 19th. Call of duty is a AAA game and it was just recently announced and is coming out a month prior. So just hold your horses for Grand theft Auto it's coming out late. It's one of the latest games coming out of the year.

JoeyJuJoe

Is there any reason for you to trust the release date? It’s just so unnatural for a AAA to be dead silent like this. There’s general sentiment about trailer releases during the “summer” but I can’t base it on faith alone

Reggio_Calabria

I am so very much bullish about gaming companies’ stocks. One AAA game now only costs 2 to 3 burgers at McDonalds and doesn’t need to burn Hormuz fuel to get shipped to your house as people download games. I see it as a great resilient business to make it through the current recession.

nyse25

Wolverine looks like another Sony AAA slop that tries its best to imitate Arkham combat by rubberbanding from one enemy to the next with cinematics crammed up your asshole GOW Laufey is more of the same What happened to the games 😔😔😔😔 At least until dawn 2 looks alright

MoaiTrist

I was not their customer when S&P rated Mortgage Backed Securities AAA before 2009.

MoaiTrist

They completely missed the problem with giving mortgage backed securities a AAA rating before 2009.

Downtown_Plantain158

IMO AI NPCs in WWM were interesting at first but later became boring/chore. MMORPGs have tried to make "dynamic virtual worlds" hype for sometime, I don't think it sticks well and eventually becomes obsolete. What gamers like are world expansions with the latest greatest techology/game mechanic/raid/world/art/etc hence why they have expansions every year like in WoW or FF14. Complex systems? I think that needs to be designed by humans. I don't think AI is good at creating new things (yet). It is great at recommending things that already exist though. AI is "great" for rapid development of software though. I personally think GTA is washed and GTA6 is going to be overhyped as most triple AAA games are these days.

Naytosan

AAA rated you say...?

Maakus

I've used Mac for personal use and Apple Configurator. The M series Macbook I have is not capable of AAA gaming, so I can't speak much there. I just feel like I'm always having to search how to do stuff that I do with Windows and then I ask myself if there is any single benefit that I like and it's literally just battery life, so the Macbook is really just a media device at this point.

BabaThoughts

At 58, and close to retirement… consider only 42% in the market. The rest in cash, AAA corporate bonds, treasuries.

Electronic-Cell-3404

You’re basically right. The movie dramatizes a lot for clarity. Burry absolutely did not invent CDSs, he mainly pioneered using them specifically against subprime MBS at that scale. And yes, the premiums were initially “cheap” relative to the actual risk because everyone believed AAA housing debt was ultra safe. The painful part wasn’t that the CDS itself was irrational, it was the carry cost and timing. He had to keep paying premiums while the market stayed irrational longer than expected, and his investors were freaking out before the collapse actually hit. Also correct that CDS value can rise before outright defaults happen. Spreads widening alone can generate mark-to-market profits. The movie compresses that nuance because “housing collapses = Burry wins” is easier for audiences to follow.

malhal

Currently there is no incentive to upgrade and all it needs to undie is a couple years for RAM prices to come down and a new AAA game that requires a new GPU feature. It probably will be a larger upgrade cycle than ever. They even said in the video all their friends are waiting.

AffectionateAd7980

Let's start with what stocks and bonds are ... very simplified. Bonds are a promise to return a fixed amount at a fixed point in the future for some amount invested today. If you sell a bond early (before the promise date) you generally have to sell at a discount, a reduction in the face value of the bond. You buy things like t-bills at a discount, say paying $4,950 for a $5,000 returned at a later date. Stocks represent ownership in a corporation where you share in the boons and busts of that company. While holding bonds can protect from dramatic market "adjustments" (crashes). Typically, when stocks fail sharply, bonds will also fall. Interest on bonds is driven by demand. When demand is high interest rates are low, when demand is low, rates are high(er). When the stock market drops sharply, people (who have sold stock to protect profits) will move to bonds giving high demand and low interest rates. What happens to the stock market when the bond market collapses (https://www.reddit.com/r/bonds/comments/172kqot/explain\_the\_bond\_crash\_like\_im\_5/)? That depends greatly on why the bond market crashes. A rapid spike in bond yields (interest rates) reduces the current bond value (if you sell early it will be at a steep discount), but if you buy you might be able to lock in an attractive long term rate. This can cause people to move out of the stock market and into bonds. If I can get a fixed 15% in a AAA bond, I'm not as likely to risk my $ in the stock market. When $ comes out of the market the stock prices go down. Enough people doing that can cause a market crash, that will push people into bonds ... and likely drive bond rates back down. However, bond market collapses typical have serious causes. Bond sellers don't wake up one day and just want to pay higher yields. If yields rise sharply something is going on. A sudden increase in $ burn (i.e. need for quick case) and/or lack of trust in the bond market (i.e. pay me more for the perceived risk). A collapse in the bond market can be much more disruptive than a stock market crash. You can have a bond market collapse and a strong market when there is an expectation of high inflation. We are seeing some of that now. Stocks tend to index with inflation. Bonds have fixed returns and people tend to expect better yields when they know their future $ is going to be worth a lot less than their current $. Current policies are very inflationary and bond rates will continue to rise. Part of the market rise we have seen is due to inflation.

tonvor

He didn’t bet against AAA. He bet against crappiest CDS. There was no real market, hence the banks were the only buyers/sellers and could manipulate the price.

anonymousbopper767

Yup “what Trump says is AAA rated truth” vibes. Reality: it’s subprime dog shit with a fico score below 550

FryerTuckit

The first CDS that was rated by S&P and Moody’s was a corporate single name swap on Walmart. The iSDA based swap was modeled after interest rate swaps and was structured by JP Morgan in early 1990’s. I should know I rated the transaction and ran the largest AAA rated credit derivatives company years before Bury heard about CDS. RMBS and CMBS default swaps came later but he wasn’t the structure guy behind them

Pleasant-Shallot-707

The reply: “I understand where you are coming from, and I appreciate the feedback. However, I think it is important to separate tone from substance here. The main point I was making is that the movie simplified the financial mechanics for a general audience. Michael Burry did not invent credit default swaps themselves. Rather, he identified a specific way to use them against weak mortgage-backed securities. That distinction matters.” Additionally, the issue with the premiums was not simply that the bonds were AAA rated. It was that Burry was early, isolated, and paying for protection before the rest of the market understood the risk. This made the trade psychologically and financially painful before it became profitable. So while my comment may have sounded formal or structured, the underlying facts are still valid. If there is a specific factual issue, I am happy to discuss that, but dismissing it as “ChatGPT” does not really address the argument.

BeneficialVisit2477

You are right bro. The movie simplifies a lot for storytelling. Burry didn’t invent CDSs, he just recognized that AAA subprime MBS were being badly mispriced. And you’re also right that CDS positions can become profitable before actual defaults occur, simply from weakening credit conditions and spread widening. The book explains the mechanics a bit more clearly than the film does.

D_Pablo67

The credit rating agencies sold AAA ratings on garbage mortgages rolled into a securitized portfolio. This brought the whole system down. S&P and Moody’s aggressively lobbied for exclusion in the Dodd Frank act and were never held accountable.

Commercial-Group4859

Movies like these are simplified to be understood by a general audience. Yes, his premiums will be low but, in the end, if the notional of the CDS is high, the amount would still be important. Additionally, he would most likely be shorting the higher risk tranches which were not necessarily AAA. This connects to the part of the movie where the two guys from Brownfield get the brilliant idea of shorting the AA tranches becaues no one was doing it. The profit part is when they go to the ratings agencies. Since they had not adjusted the credit rating of the MBS's, that left Burry unable to profit from his position while already having spent a significant amount on premiums.

Level_Agent_2955

bro you are absolutely right on all three points. the movie dramatized the hell out of it for theatrical effect. let me break it down. First the CDS invention thing. The movie definitely makes it feel like Burry invented the CDS on mortgage bonds. He didnt. Credit default swaps existed since the 1990s. J.P. Morgan created them. What Burry actually did was realize you could buy CDS on mortgage-backed securities without owning the underlying bonds. That was the innovation. Not the instrument itself but the bet structure. The movie compressed that for drama . Second the premium thing. You would think AAA rated stuff means cheap insurance right? Wrong. And this is where the movie actually gets it kinda right. Burry was paying huge premiums not because of the rating but because he was early. Like really early. His fund was paying $80-90 million annually on a $555 million fund . The banks thought he was insane. They were happy to take his money because nobody believed housing would crash. Being first meant the banks quoted him terrible prices. They laughed at him. If he waited until 2006 or 2007 he would have gotten better premiums but also worse payoff ratios because other buyers would have driven up prices . Third and this is the big one you caught. You are 100% correct that the market didnt need to fully collapse for Burry to profit. Just a bend not a break. The movie makes it seem like everything had to go zero. Not true. Burry hand picked the weakest loans. He bet on specific tranches filled with garbage. Once those specific loans started defaulting he should have gotten paid. The problem was the banks pretended the defaults werent happening. They delayed paying him for months because acknowledging the losses would have tanked their own positions . So the movie turned that into a full collapse narrative because its cleaner for audiences. The book is more realistic about all this. Michael Lewis goes into the actual mechanics. The movie had to use Margot Robbie in a bathtub to explain CDOs. You cant expect precision from that . So nah you arent missing anything. You just understand finance better than the average moviegoer. The reality was still insane just not quite as insane as the film made it look. Burry was right early and got punished for being early. Thats the real story

egamruf

With respect, ANYTHING can be a start up. What I know about Musk is he has a history of lying about partnerships, product roll-outs, technological achievement and sales. Why on earth would him bundling five middling start ups with no earnings into one company make that company worth 2 trillion? He's effectively just creating CFDs out of B-rated startups, bundled as Tesla and SpaceX then trying to tell everyone to treat them as AAA shares.

mistletoe9

None of this turns out to mean anything when American consumers still spend in spite of high prices. AAA has reported record highway travel for Memorial's Day, for instance, even with high gas

OkCelebration6408

Gaming is more competitive than ever and slowing overall revenue growth, there is no guaranteed long term success for any game right now. GTA6 will have good initial sales base on hype alone which is already priced in, long term outlook for its future online content is very uncertain. Longer term Sales and online revenue could take a huge nosedive and the outlook will worsen very rapidly for rockstar and take two. The past gta games like 4 and 5 aren't clear GOTY choice. So if overall AAA gaming is on decline, I doubt GTA 6 can truly be this ultimate game that people want, it's very likely to disappoint just like many other AAA games now.

tgent133

>packaged together with understated risks and sold to completely different entities. Sooooo Elon privately merges xAI, spends billions on Tesla assets, and packages all that together into the one profitable company (before the packaging) to sell to the public. That sounds just like packaging all the shit with high risk and selling to a completely different entity. Overstated value you say? You mean like a $2T valuation for a company that lost $5B last year?? >There was no notable circular buying within these banks and companies.  It was largely the opposite, with anyone who understood the situation trying to package the shit mortgages, polish that turd and sell it fast. There was circular buying of the mortgages until there wasn't. Bank 1 gives mortgage to C buyer > packages, sells to Bank 2 as B > packages, sells to Bank 3 as A >>> packages, sold as AAA. Elon milks Tesla > Fucking accidentally buys xAI > Sells Tesla chips/compute to xAI > Rolls all that shit into SpaceX > Sells SpaceX to public via IPO. That's the point, it's circular until there isn't any money left and someone is holding the bag, aka the public. IF the hit is hard enough, confidence in the market's regulations to avoid this (ahem the entire AI Sector) will tank, and the entire market will go with it.

FrumpyFollicle

The issue with the '08 crisis wasn't just that MBSes were fraudulently being rated AAA, it's that highly rated debt is used as collateral for short term liquidity. Banks, insurance companies, any company that has a lot of long-term holdings and could theoretically need a lot of cash on short notice, use their long-term assets as collateral for liquidity (same concept as home owners getting a HELOC) via repos or other measures. So the value of these MBSes collapsed and with it came a liquidity crisis until the Fed fired up the money printer to buy all the garbage MBSes from the banks to bail them out and pump cash into the economy. In the meantime, people got fucked as the economy went to shit, the value of their homes went down, and they lost their jobs, which resulted in more people selling their houses, lowering the prices of houses even more, more people defaulting, etc. In my view, a company like SpaceX can definitely pump and dump and the bag holders will be fucked. But I don't see how the AI bubble bursting will have the same ripple effects as the MBS market collapsing did.

Hatchz

Isn't this the same thing that caused the last financial crisis? That was selling mortgages, bundled deceptively as AAA debt when it was junk, and derivatives of that debt. Its the same dollars at the root but it was a lot more by the end of it. Now we are instead of using debt and passing it around its dollars, just being passed around by the same few companies, that looks like organic growth but its just the same buck being passed along directed by the ownership in those companies? I can't word that well but do you know what I mean?

RavenRainTie

Big Short Incoming. High end paying jobs are being replaced by AI and because of it AAA loans are going to become worthless.

SmoothOperator423

What if we just take the national debt and package it up into little more diversified bonds and sell them as AAA rated securities.

junbun2

any suggestions ? or just AAA ? i don't know the bond trading world too well how to get started?

mardonic

On the bright side of things our national debt quietly exceeded our GDP. Really wealthy smart money doesn't like uncertainty and devours high rate AAA bonds. Stay the course. Look for a sudden drop as earnings season ends until AFTER the midterms. Itys not different this time.

melvinzee

A great example of *tranches* with AAA+ rating names, mixed in with some Bs that will go to shit.

is_it_gif_or_gif

The only one of those with a major AAA name was Blackberry though.

stoplossftw

diversified AAA rating only

RedditTechAnon

Most AAA games are shit, the indie and small cap scene on Steam is alive and well.

zennsunni

Most AAA games are shit. We're in a promised-land golden era of indie games and small studios the likes of which the human race has never before seen.

Korgath_of_Barbaria

Nintendo $NTDOY It's currently being beaten down for the same reason semi's have gone parabolic (rising hardware costs) + fear of waning demand. However, they are sitting on a treasure chest of digital assets and have a movie that is nearing $1B worldwide which they will 100% ride the momentum of to announce a new AAA Mario game. Plenty of time to capitalize on the Switch 2 lifecycle. This price collapse following guidance is a blessing for anyone looking to establish a position (hoping it falls further early on this week).

brainfreeze3

console gaming is not the gaming industry, phone gaming and indie PC gaming will do just fine. AAA will struggle but probably not much more than they already are, as long as they keep system settings requirements reasonable

elpresidentedeljunta

"Why? Because the documentation that has been underwritten by the people that are distributing the loans has eroded. And it´s eroded the fundamental principal between the borrower and the lender. And so, there´s gaps in the documentation. We´re in a position to be able to provide capital and encumber collateral attached to that. And we have two CLO ETF products right now. A AAA CLO ETF that´s called CLO X and then CLO Z, which is a mezzanine, BBB and BB. The AAA is in effect 5% yield right now, that doesn´t carry a lot of risk with it." Michael Burry would like to have a word... XD

DegenBagholder_

Whole market at ATHs while my portfolio (All in $MELI and $SMR) is still down 80% AAA

Happy-n-Healthy

According to AAA Wisconsin, the average price for a gallon of diesel is $5.66. One year ago, the price for diesel was $3.20. The previous record was set June 25, 2022, when diesel hit an average price in Wisconsin of $5.52.

MassiveBoner911_3

If you look at AAA average gas prices its been going up 10 cents a day per gallon.

Former_Island_4730

Sophisticated traders call that combo the AAA collar.

Worried_Quarter469

Today's AAA California regular unleaded Avg. $6.010

Severe-Status1302

Did you forget ESO has been clocking money for over a decade now, just like GTA online? We haven't gotten Elder Scrolls 6 for the exact same reason we haven't gotten GTA 6. Why make a new game when you can sell remasters every generation and reap all the live service money. The horizon for marquee game releases is so grim, that you can absolutely guarantee that the next elder scrolls will be do absurd numbers. Just like GTA. There's so little competition in the AAA space anymore.

BGID_to_the_moon

There's little to no default risk on high rated corporate bonds. If the large and highly reputable corps (microsoft, apple, jnj, etc) issuing AAA and AA bonds actually defaulted, the country is likely in dire straits.

ShittyUsernane1222

SPY is the ultimate boomer asset. 1% reliable return for no risk. At this point even AAA Bond ETFs move more than SPY and are more fun to trade.

Alternative_Newt_409

Here are the day rates of contract artists in AAA high end games industry, this one source is from 2016-19, not adjusted for inflation. https://www.tumblr.com/benmaurodesign/71836713136/rates-for-concept-artistsdesigners-was-planning What was said is that they earn less, I argued I am earning at least x3 times more than when i was full time. his response is that he works mag7, and he knows what my purpose is (lol) as contractor and what they get paid and that i dont get paid more. Whatever man, i guess i undetstand why these faang/mag7 people keep gettin laid off now

EmperorAlgo

Not AI slop, but production costs of films AAA are movies are going down by 95% for the same or better quality movies.

EngRookie

1st parents were primarily always the ones buying kids video games. most kids cannot afford a console on "allowance" part time summer jobs and with games being $80 a pop it is even more cost prphibitive to think anyone *but* "adults with jobs" were/are buying games. so your "thesis" of new people entering the workforce is just wrong. the people that bought the video games for their kids were replaced by their kids. 2nd birthrates are falling globally in 1st world countries. so much of the population growth you mention is in poorer countries. ie people that are not spending $600-$900 on a playstation or even more on a gaming rig that is even more expensive due to ram/gpu prices. if you didn't future proof your computer 3 years ago then you are fucked. 3rd there is a reason nintendo won the console wars, because it focused on affordability and maximizing the performance/efficiency of 1st party titles. modern AAA are nowhere near as efficiently optimized as they could/should be because b4 "AI" gpus/ram didn't break the bank so they could just throw more hardware at the software problem. And look at how hard nintendo got buttfucked after the ram increases the past six months. if the "affordable" gaming company is taking a hit why in the world would you think the expensive and bloated AAA studio wouldn't get hit even worse? especially after console and video game price hikes that were just recently announced. your bull thesis reads like someone that doesn't even have the most basic knowledge of how the video game industry operates and who/where the core customer base is. there is no way the gta6 sells 100m copies in year 1. I'd say a more reasonable number would be 50m. and even that i am unsure of, remember gta5 sold 33m it's first year and you are predicting a 3x sales boost in an environment where gaming is more expensive and hasn't been this expensive since the 90s.

jah_bro_ney

Even when he was right the first time, ratings agencies were still handing out AAA ratings all the way up until the end on MBS, so even if he's right again he still has to battle through a system of total corruption to be proven right.

tsunderestimate

This looks like biotech packaged into a bundle to get AAA rating cuz it's diversified and I'm already quoting Big Short

Late-Combination5060

Has no one seen the AAA national gas prices. Holy shit . Nevada hits 100 degrees in April and $5 gas.  Michigan near $4. Everyone is fucked this summer 

hv876

PPI came in yesterday and I found this nugget: *While in reality the average gallon of gasoline at the pump was up 36% in March and diesel per gallon was higher by 46% according to AAA, the BLS said gasoline prices were up ‘just’ 15.7% in their wholesale data.*

FarrisAT

BLS gasoline PPI only rose 15.7% in March. AAA unleaded gasoline rose from $2.94 February 28th to $4.02 on March 31st. Was the seasonal adjustment massive in March? Maybe this is why bonds are flat despite a huge PPI miss from expectations.

Amenahoidem

Our tuition is only 2500€ a year so its mostly to pay for your life, not for school itself. Because you cant work that much while a student. They proceed to just not care about what you do with it as long as you pau it back with interest. The interest is tied to the bond interest the government has to pay, and they have an AAA rating.

Blueberryburntpie

And after they already obtained the early profits. The equivalent of offering "AAA" and "AA" rated synthetic CDOs to retail investors in 2006.

Various_Couple_764

Actually the saving and loan crisis occurred when risking oil price exceeded what many peaple have budgeted for for gas and the home mortgage. So they either continued to buy gas to get tot work and eventaually lost the house or they stoped buying gas lost their jobs and went bankrupt and lost the home. And since most of these home loans were bundled up into mortagge backed securities which were incorrectly rated as AAA assets many investors lost money and the banks and mortgage companes also lost money. 20008 was an unusual recession in that most the the problems were in banking and mortgage sectors of the economy. Many businesses that had nothing to due with banking or mortgages did very well and conjured to pay the dividned.

Various_Couple_764

The big problem with government bonds is tha they barely keep up with inflation. A bond yielding 3% is very safe but if inflation i running 4% per year your effective total return is on -1%. This means you need to look for yield higher than the rate of inflation. I generally I prefer to aim for a yield 6% which is about 2times the long term average inflation rate. You probably aren't going to find government bond with that yield.But you can get corperate bonds yielding 5 to 7% and some muniboxnd funds with yields this high. There are Collateral loan obligations funds JAAA 5.5% yield invest in AAA rated CLOs which in thee 30 years this asset has been availalable there have been no defaults. CLOZ 8% yield invest in BBB rated CLOs which have only a 1% default rate. UTF 7% and UTG 6.4% both invest in utilities and infrastructure. Both have a long histiory of reliable dividned payments. ARDC is credit funds 9% yield. again a long history of paying dividends and no significant yield cuts in its history. PBDC 9% yield and EMO 9% are invested in businesses that are required by law to pay out some of their profit as dividend yield. As a result the yields are higher than most stocks that don't have any legal requirement to pay a dividend. Investing in funds like this can get you a higher total return especially if you reinvest the dividends than government bonds with a yield well above inflation. Now nothing will do better than growth in a bull market but most of the funds I have listed that did exist in 2008 wen the market returned about -40% all payed the dividend And for those funds I have listed that didn't exist in 2008 most of the assets they invest in did very we'll and thy silll payed yield. And with funds like these you can get more income than you can get with bonds.

whythefuckalready

You should research housing collapse of '08' . Republicans passed legislation influenced by big banks. A home for everyone loosened regulation allowing banks to underwrite bad notes, then allowed them to repackage bad loans with AAA loans giving the 'packaged' loans a much higher rating appearing as less risk. Those were resold over and over to disguise the actual asset risk. Without that bailout (which i F-in hated), the banking system would've collapsed without liquidity as people withdrew their money. Would've sent America into depression level economy. Again, I F-in hated CEO's were rewarded with golden parachutes.

Puzzleheaded-Low3440

Only US prints without backing it with gold, each loan turned bad debt is collected in other ways either by possession or creating fishy contracts like the AA and AAA bonds.

Dstein99

Absolutely, If I recall correctly they take 3 readings throughout the month and average them out. I am assuming it’s the 10th, 20th, and 30th of the month, but I use AAA national gas prices and the way back machine for data. According to AAA the national average gas prices coming into March was $2.98, March 10th was $3.53, March 20th was $3.91, March 31st was $4.01, and April 10th is $4.15. The rate of change of gas prices has slowed, it increased by 18% before the 1st reading, 10% from the 1st to 2nd, 3% from the 2nd to 3rd, and 3% from the 3rd March reading to 1st April. When the April CPI comes out they will see that the 1st reading increased gas prices from $3.53 to $4.15 17% so I don’t mean that the effects on CPI are behind us, but the rate of increase is slowing. Hopefully this recent trend continues and when we get to the 3rd reading and into the May report the effects will be behind us. We’ll see what happens with downstream industries. There was nothing about other industries having price increases but I wouldn’t expect them to increase this quickly. We’re entering earnings season so if companies say that they’re pessimistic stocks could fall fast.

Uilleam_Uallas

I keep buying and buying. One of two companies with a perfect AAA credit rating, which means a fortress of a balance sheet; and they are a virtual monopoly in the enterprise. None of this is going anyway anytime soon, and with so much cash they can easily re-invest and acquire other companies if they need to. Even if they are not the TOP, they will be here for a long, long time.

Nictel

This is like the scene where they go "how are credits still AAA while bonds are failing".

Grouchy-Singer-9733

With companies going public, they have to prioritize the market profits, shareholders sharings, numbers go up, meet with shareholders and meet higher expectations. Seriously since business people started going into gaming companies (public companies) AAA gaming industry never recivered since

sloanemonroe

According to AAA gas prices up today. Ain’t that something

MrRobotFancy

do you feel good about treasuries versus AAA debt long long term? kinda freaks me out the national debt just goes to unwieldy / infinite at some point

MrRutin

AAA so that's how it was going to go right before the buzzer playing the market like a fiddle 

Worried_Quarter469

Today’s AAA regular unleaded gas National Average $4.140

HolaMolaBola

I'm in post-retirement and these are my fave bond ingredients suitable for the living expenses bucket. ||**Low Duration Bond Sleeve**||||**Sleeve Weight**|[**Std.Dev**](http://Std.Dev)|**Coupon**|**Fees**|**Duration**|**Rating**| |:-|:-|:-|:-|:-|:-|:-|:-|:-|:-|:-| |||||||||||| |Ultra Low Duration Treasury Bills 45day (100% AAA)||||SGOV||0.60%|4.18%|0.09%|0.13 yrs|AAA| |Ultra Low Duration Credit 1yr AA- (33% AAA 0% junk)||||PULS||0.83%|4.73%|0.15%|0.27 yrs|AA-| |Low Duration Treasury Notes 2yr (100% AAA)||||SCHO||2.03%|2.95%|0.03%|1.88 yrs|AAA| |Low Duration Govt/Credit 3yr AA (73% AAA 0% junk)||||BSV|72.35%|2.90%|3.34%|0.03%|2.60 yrs|AA| |Low Duration Junk Credit 4yr BB (0% AAA 100% junk)||||HYDW|27.65%|6.21%|5.60%|0.20%|2.80 yrs|BB| |GNMA Govt Mortgages 7yr (100% AAA)||||VMBS||6.85%|3.73%|0.03%|5.27 yrs|AAA| ||||||||||||

Ok-Wolverine-4223

Yeah, that is why I am doing JAAA. Not corporate bonds but typically pays out about 5% a year. Based on AAA debt so pretty solid.

almeida8x1

Your portfolio after tax should be 100% broad market index funds, retirement accounts should also be 100% broad market index funds. Once you get closer to a withdrawal period for either account, dollar cost average out of your holdings and into less volatile assets like municipal or AAA corporate bonds or some bond index fund or even a HYSA and then cash once you’re using it. ^ that blob covers about 90% of it. If you want to dial it in more watch money guys on YT and read the simple path to wealth by JL. It’s not complicated, if it seems complicated you’re doing it wrong.

Blueberryburntpie

"Don't worry, we only invested in AAA and AA rated debt." "Yeah, but what is that debt actually exposed to?" - Famous last words of 2006-2007

tgff333

Today’s AAA National Average $4.119 Price as of 4/6/26 Bro....

Brawmethius

Just the weekly rotation of your cash into 401k junkindexes. Same cycle. A good stable return is brought to market. It sucks up capital because its easy with low fees. Wallstreet spends a decade figuring out how to monetize it, usually is "fill this AAA shit with as much garbage as possible." Now featuring your 401k.

Firm_Passage_6844

how can i trade with lehman brothers? i heard they got AAA rated securities going on

RedPandaExplorer

I just rewatched The Big Short, where a big plot point was these garbage bonds were AA and AAA rated. And when the dominoes started to fall, a lot of large banks were doing shady shit to minimize their impact. I don't think it's a conspiracy that the market is fixed

Worried_Quarter469

Today’s AAA regular gas price National Average $4.081 Diesel $5.51

swampassOG

5' 4" and hung like a AAA battery 🔋

USDai

You’re 100% spot on about private credit eventually running out of money and drying up. The issue is that AI capex is so astronomical we’ve got to invent new ways to raise debt capital. ABS markets for AI will be 1000% necessary, Coreweave just signed a brand new deal this week with its GPU’s as collateral, and it earned a AAA credit rating at 9.25%. The infra is just difficult to finance right now because its so hot, so novel, that we don’t have historical data to placate credit investors. But ABS is the future for AI debt financing.

Blueberryburntpie

> Fear that investments are going sour. and sour for a while. TFW when you parked over 20 million in private credit because "it had good returns and is safe as AAA rated bonds", and now the gates have slammed shut.

Worried_Quarter469

Today’s AAA National gas price Average regular $4.064

Worried_Quarter469

Today’s AAA National Average regular gas price $4.018

Big_Red_Dogs

AAA just released a report the national average hit 4.02. Highest since 2022.

DelphiTsar

It's so out in the Open. Level 3 Asset Audits **you are allowed to make things up**. Here is out it plays out. The company has 2 billion in expenses, I model that I can cut 1 billion. So we can load that company up with an extra billion in interest only payments on the leveraged buyout. They company is loaded up to the gills with debt 8x 10x 12x! why not interest is basically free. All of this the auditors have to audit the model not reality so it's AAA debt! Oh dang I was only able to cut 250m, even at low interest this company can't pay off it's debt. Well we'll let them pay in stock, no path to pay off debt. Private credit model, It's still AAA debt! The company has only been paying interest, they now have huge debt they have to reservice. Not only have interest rates go up from baseline but now the bank knows there is no way they can actually pay this, so interest rates go WAY up. The auditors are like...ohh man this is one step up from default, you really have to fix this. Private credit model AAA debt! **TLDR it's fraud**

DelphiTsar

Level 3 Audits, Audit the model not reality. You are allowed to say "I am going to cut 99% of the workforce and also we're going to sell twice as much". The models it was audited on aren't working out. When a company is about to default they'll start paying in stock.(amending/paying in stock). This doesn't fix the issue, it just kicks the can. Various other things. The funds they are trying to sell 401k's are engaging in Fraud plain and simple. They KNOW their models are wrong but don't update them. That AAA company(That's only AAA because it was supposedly going to cut 90% of the workforce) that has only been paying interest that has it's debt wall coming up is still on their books as AAA when it has ZERO path to pay off it's debt at the upcoming higher interest rate(that it has to pay because it has zero path to pay off it's debt). It's a death spiral. Do not give these people your money.

DelphiTsar

They don't even sound good on paper, they are sattled with debt under the assumption they'd be able to cut 3/4th the workforce and it's not working out. They cut 20% and the 0 interest debt they got when they were a AAA company suddenly goes up because interest rates go up, but also because the projections that they'd be able to service that much debt were just completely wrong. Suddenly the huge debt you haven't paid a penny other than interest on is now 12% and you are boned. The companies with the funds KNOW there is no way these companies are going to be able to pay off their debt but pretend they are a AAA company and their projections of how much they could cut are working perfectly and interest rates aren't high. This as fraud plain and simple. As long as they don't say out loud it's fraud it's fine because it's private.

DelphiTsar

The companies go from AAA to default instantly when they've been known to be on the edge of default for a long time.

DelphiTsar

The thing with private credit is the companies are engaging in "legal" fraud. They know the underlying assets aren't performing like their models suggested they would but they don't update the models. This isn't a startup, these are companies and you have credit rating agencies saying they are AAA but they are scraping by pretending not to default by paying missed loans with generated stock.

SeemoarAlpha

Quite a few private assets are AAA, they get allocated to the well connected. The toxic residue will be allocated to retail. There was a reason that private assets used to be relegated to accredited investors, Joe lunch pail isn't spending his break time computing the convexity of exotic debt tranches.

sailortyx56

The AAA average fuel price is officially over $4 a gallon for the first time since mid-August 2022. [https://gasprices.aaa.com/](https://gasprices.aaa.com/)

jfwelll

These private assets are AAA, trust me bro

fastheadcrab

For sure and the safe harbor clauses blocking people from suing the fund managers are obscene. So a defense l from these corrupt mofos will literally be “it was rated AAA, I did nothing wrong.” Bruh. And it’s telling that the who are applauding this move are those companies facing a huge potential wave of private credit defaults. Literal repeat of 2008