JPM is a bank and the Fed can loan money to them in a way that they cannot to BSC because BSC is not a bank.
As I understand it, the Fed will essentially loan against 100% of the value of $30B worth of hard to liquidate, hard to value (read: value is less than 100% of face value) mortgages as part of the deal, covering JPM's exposure in that part of the business.
What should happen: head of BSC should face criminal charges, not for running company into ground, but for lying to small investors (you and me) while disclosing other information only to large investors (JPM and other institutions). This is a violation of SEC rules.
This is not the first time JPM helped, there was the banking panic of 1893 (IIRC) - JPM bailed out the USA and in return, got $7 million in fees.
As I understand it, the Fed will essentially loan against 100% of the value of $30B worth of hard to liquidate, hard to value (read: value is less than 100% of face value) mortgages as part of the deal, covering JPM's exposure in that part of the business.
What should happen: head of BSC should face criminal charges, not for running company into ground, but for lying to small investors (you and me) while disclosing other information only to large investors (JPM and other institutions). This is a violation of SEC rules.
This is not the first time JPM helped, there was the banking panic of 1893 (IIRC) - JPM bailed out the USA and in return, got $7 million in fees.