News & Events

News & Events

3.1.2008

Reaching the Bottom of the Barrel – How the Securitization of Subprime Mortgages Ultimately Backfired

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In the last decade, Wall Street used the process of securitization to revolutionize the financing of home mortgages, making credit available to millions of borrowers with less-than-stellar credit. But the failure to properly assess the credit risk associated with these loans led to well over $100 billion in losses at Wall Street firms. Who will be held responsible? View full article (PDF).