The END GAME has arrived.
The Center for Financial Research and Analysis, a unit of RiskMetrics Group, RANKED NOVASTAR FINANCIAL Inc AS A HIGHEST LIQUIDITY RISK !
NovaStar originates and sells subprime mortgages, home loans made to borrowers with shaky credit,
All five depend on short-term financing to fund their businesses and use either mortgages or securities backed by home loans as collateral for the financing. If the issuer of credit feels that the value of the collateral is decreasing, it can ask for more money for collateral, called a margin call, or pull the credit altogether.
Those REITs that have little capital on hand or unencumbered assets to cash in most could have trouble meeting the margin calls.
neither, Chartwiz will go BK and leave town wondering how he lost all that money by being greedy when NFI was a short's dream for so long. This mgt is smarter then most think, as evidenced by NFI still being viable, it's relationships and the ability to set up the shorts for a little of their own medicine.
good luck, enjoy your new trailer park........