Have you ever felt like you weren't getting the whole story?
Sure you have. Everyone's had those moments; you know, that moment when a cursory assessment of a situation makes you incredulous regarding the veracity of the story you're being fed. In many cases, you're not even sure you want to hear the whole story because you know that once you dive down the rabbit hole, you've surrendered the blissful ignorance option and you won't be able to get it back.
Well, China's financial system fits that description perfectly. Its labyrinthine character and the long list of shady, backdoor financing arrangements that keep it afloat make the incestuous relationships that helped create the housing crisis in the US look innocent by comparison.
Lately, I've focused on entrusted bond deals. Why? Well, because they've been in the news. Sealand Securities' initial refusal to honor an arrangement with its counterparties further spooked…