Tag Archives: CDO

Did Securitization Lead to Riskier Corporate Lending?

by Joao Santos, Federal Reserve Bank of New York There’s ample evidence that securitization led mortgage lenders to take more risk, thereby contributing to a large increase in mortgage delinquencies during the financial crisis. In this post, I discuss evidence … Continue reading

Posted in Banking News, Economics, Federal Reserve | Tagged , , , , , , , , , | 1 Comment

$13 Trillion Cover-up

In the case of bailing out Wall Street – and thereby the wealthiest 1% of Americans – while saying there is no money for Social Security, Medicare or long-term public social spending and infrastructure investment, the beneficiaries are obvious. So are the losers.

Continue reading

Posted in Uncategorized | Tagged , , , , , , , , , , | 3 Comments

The Alchemy of Securitization

Securitization of mortgages has suffered from two aspects. First, risk was not properly recognized. Second, legally required filings were not completed. Both of these problems are reviewed. Continue reading

Posted in Business News and Analysis | Tagged , , , , , , , , , | 4 Comments