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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: TimF who wrote (422240)	10/4/2008 1:29:17 PM
From: TigerPaw	Read Replies (1) \| Respond to of 1572295

The risk from the loans was inappropriately hidden from the investors by the fake insurance policies. Had the risk been known, the costs could have been adjusted. More importantly, many of the investors such as pension funds would never have bought the risky securities at all, and the nonsale would have quickly fed back to those originating mortgages. They would have quit writing mortgages they couldn't sell. The mortage companies were just filling a demand.