Still, creditors as a whole most likely underestimated the size and scope of the market bets that LTCM was undertaking, an issue that is currently under review. On September 23, the private sector parties arrived at an agreement providing a capital infusion of about $ billion in return for substantially diluting existing shareholders’ stake in LTCM.
I do not wish to make much of this, given my reservations about these rankings, but at least it should put a stop to stories about how we are falling behind.