Catch21 - Our Charity ArmCatch21 is a charitable production company set up in 2005 which trains young people to make videos and engage with their communities.Catch Creative - Our Video Production ArmCatch Creative offers a complete video production service, from Conception to Distribution.Catch EngagementCatch Engagement is the new video interaction platform from Catch21 which allows you to run a campaign using both user generated films as well as professionally shot ones which are displayed via Video 'Walls'. Catch Engagement is all about using films to build an online community - welcome to the future of video.

We shoot cutting edge videos and provide a forum to give people a voice.
Engagement. Discussion. Empowerment.


All content featured on our charity site is produced by young volunteers with the support and mentoring of our professional production team.

Blog no image

Published on January 16th, 2012 | by Nick Doyle
Image ©   On Friday, Standard and Poor's (S&P) downgraded the credit rating of nine countries within the European Monetary Union; including most notably France.  The effect this has on the financial markets is to effectively undermine the confidence in these countries' financial systems, no matter how slight the downgrade.  So surely, at this time of faltering confidence someone needs to steady the ship; enter David Lipton - First deputy MD of the International Monetary Fund and his calming words stating that bold action is required if we are to avoid a world-wide "catastrophe" - not so much calming as apocalyptic in his outlook unfortunately. However, an area that I am bemused is being overlooked is who indeed is making this judgement?  Large credit rating agencies such as Moody's and Standard and Poor's hold an impossibly powerful position yet they abuse it.  This is not only well-known within the financial and political sector, it is practically a given to anyone who has watched or read anything about the financial crisis we are currently still reeling from.  These are in essence "think tanks" that constantly (apparently) analyse the financial markets in order to advise (not control) the financial markets as to the stability of not only national governments, but large private companies also.  These same companies are the ones that rated sub-prime mortgages (surely the clue is in the name) as AAA; the highest rating available, essentially saying these investments are gold-plated guaranteed.  One might wonder how they could get this so horribly wrong, and the answer is large banks and hedge fund investment companies paid them (in a variety of ways) in order to get this treatment.  Undoubtedly I have simplified the story but the song remains the same.  In my mind these agencies should be given roughly the same amount of credibility as I would a man holding an empty bottle of rum, lying on the ground, singing Queen classics, telling me he is fine to drive.  But this is not how the financial market sees them, and why have they not been punished for their incredulity?  Because they claim they only advise and that other factors should be taken into account other than what they say.  If that's the case, why is the Telegraph running a Debt Crisis Special and why is anyone taking notice of these crooks?

1

You can’t spell Standard and Poor’s without poor

 

On Friday, Standard and Poor’s (S&P) downgraded the credit rating of nine countries within the European Monetary Union; including most notably France.  The effect this has on the financial markets is to effectively undermine the confidence in these countries’ financial systems, no matter how slight the downgrade.  So surely, at this time of faltering confidence someone needs to steady the ship; enter David Lipton – First deputy MD of the International Monetary Fund and his calming words stating that bold action is required if we are to avoid a world-wide “catastrophe” – not so much calming as apocalyptic in his outlook unfortunately.

However, an area that I am bemused is being overlooked is who indeed is making this judgement?  Large credit rating agencies such as Moody’s and Standard and Poor’s hold an impossibly powerful position yet they abuse it.  This is not only well-known within the financial and political sector, it is practically a given to anyone who has watched or read anything about the financial crisis we are currently still reeling from.  These are in essence “think tanks” that constantly (apparently) analyse the financial markets in order to advise (not control) the financial markets as to the stability of not only national governments, but large private companies also.  These same companies are the ones that rated sub-prime mortgages (surely the clue is in the name) as AAA; the highest rating available, essentially saying these investments are gold-plated guaranteed.  One might wonder how they could get this so horribly wrong, and the answer is large banks and hedge fund investment companies paid them (in a variety of ways) in order to get this treatment.  Undoubtedly I have simplified the story but the song remains the same.  In my mind these agencies should be given roughly the same amount of credibility as I would a man holding an empty bottle of rum, lying on the ground, singing Queen classics, telling me he is fine to drive.  But this is not how the financial market sees them, and why have they not been punished for their incredulity?  Because they claim they only advise and that other factors should be taken into account other than what they say.  If that’s the case, why is the Telegraph running a Debt Crisis Special and why is anyone taking notice of these crooks?

Tags: , , , , , , ,


About the Author



Back to Top ↑