Thanks to Lincoln for passing this along.
It may sound impossible but one of the best financial investments of the past three years has been a collapsed bank. And not just any bank but Lehman Brothers, the world’s biggest bankruptcy.
The Wall Street titan’s 2008 downfall saw the implosion of a $1 trillion balance sheet, putting 26,000 jobs at risk. Yet it is now making some investors very rich.
Four large American hedge funds – Elliot Associates, King Street, CarVal and Baupost – now stand to make billions of dollars in profit from Lehman. They have snapped up big tranches of the bank’s debt at knock-down prices in one of the biggest vulture swoops in history.
