Behind every billionaire there is a story!

Ross: It’s About the Liquidity Mindset, Not Credit

Today’s current crisis is not so much about credit as it is about liquidity, according to one billionaire investor.  “I think liquidity was more the issue. That was what was driving the money funds bad, not so much credit,” said Wilbur Ross, CEO of WL Ross & Co., on CNBC Monday. “Credit was a little tiny part of it. It was more the illiquidity and the rush of people to exit.” He suggested that psychology will have to change in order to combat the problem.”I think we have two problems with liquidity. One is the physical issue, but the other is the psychological one. The same banks that weren’t afraid of anything the last several years now are afraid of everything. You’ve got to change that if you’re going to have liquidity come back into the system.”

read the rest published by CNBC here:

http://www.cnbc.com/id/26836153