We've gotten used to some government-run programs getting off to a slow start. So we shouldn't be shocked that the PPIP, the public private investment program, isn't exactly storming out of the gate. That doesn't mean it will not eventually be successful. 

The issue seems to be the recovering market for some "toxic" assets. A bank has to really think twice about whether it wants to sell such assets now, when a strong recovery may be in the works. Certainly some assets may be beyond hope, but in those cases, who is going to buy them anyway? All this amounts to a lot of fence-sitting.

CNNMoney notes four of the nine asset managers selected to run the program missed a Sept. 30 deadline to raise $500 million in private money. It would be a fine outcome if the recovering housing market eventually wiped out the need for the government to invest in this area. 

For more:
- here's the article

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