Sale of Bank Hapoalim MBS Portfolio Says Prevailing Valuations Too High

Bank Hapoalim, the second largest bank in Israel, sold its entire portfolio of MBS to Pimco for 75 cents on an already-written-dollar (or in this case, shekel). Note that the previous writedowns were at least $90 million on an portfolio valued before the sale at $3.42 billion.

Now why is this significant? Per a report to the London Stock Exchange on March 8, the Bank indicated that its portfolio was almost entirely AAA