Gamestop Corporation (GME)

[Jimmy Joe]

Hedge funds and other non-bank investors are now saddled with SRTs (Synthetic Risk Transfers).

Large banks have already sold off their most valuable assets.

As per Bloomberg: JP Morgan Chase arranged a series of trades to shift the risk of losses from $20 billion of its loans, some of those dangers wound up at familiar places: rival banks. JP Morgan has dropped $20 billion in these bad commercial real estate loans in what is called synthetic risk transfer trades, These opaque transactions that were approved by regulators and heralded by Wall Street are supposed to hand possible loan losses to hedge funds and other non-bank investors. $20 billion in bad loans
that will default from just JP Morgan alone. What of the other banks that have bad loans doing SRTs~? How will hedge funds deal with that~? The loans will default and these hedge funds will go bye bye.
This is starting to spook regulators. You don't say~? Really~?
Regulators = banks regulating banks~!

Banks issued about $25 billion in STRs in 2023, partially offloading the risk of $300 billion in loans.

"They" are in a very tight spot they will NOT be able to wiggle out of. No wiggle room left. Tight as Dick's hat band~!

$GME baby~!