For Sale: $30B of Subprime Bonds That Sunk AIG

The Federal Reserve is reportedly mulling auctioning off a huge basket of subprime-mortgage bonds that have a face value of $30 billion and had been bought from bailed-out insurer American International Group AIG during the height of the financial crisis. According to The Wall Street Journal, the Fed has held talks with BlackRock BLK about a potential auction for the portfolio, which it took over in 2008 to rescue AIG. Continue reading the article.