Uncovering the Truth of the 2008 GFC | The Snider Series | Episode 4 (WiM097)
The "What is Money?" Show
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The Mortgage Bond Market Isn't So Reliable, It's About Liquidity
Sub prime securitiation, it ends up getting priced as if it's as risk less as a us Treasury. Soi does it doesn't make intwoit cents at all. It's actually even worse than that, because you have to think about this as a repo market. You're implying that the counter parties in borrowing money to go by a house have the same creditworthiness as the U.S. Government. No, i don't care one bit about the mortgage borrowers in the pool that created that security. I could not care less about whether or not they can pay their loans and what their houses are worth. The only thing i care about is if, to morrow
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