???? Wrote: ------------------------------------------------------- > You reckon HedgeFunds are going to be itching to > buy a load of Greek bonds??? That isn't what I was suggesting. Although, MF Global did sink last week under the weight of European junk bonds, including Greek, to the tune of 6.3 billion dollar's worth. (Leveraged at 40:1, I heard. No lessons learnt there, then!) My scenario, from the POV of the EU banks, eliminates the 50% haircut without adding any additional risk. They can?t lose: 100% repayment of junk-grade sovereign paper the banks already hold IF the issuers survive until maturity.