We went into the Ocwen company presentation. There was one helluva guy from Ocwen, who presented to us a case he had written with his colleagues about the subprime crisis. Among all the material that I have read about the crisis, this was really the most compact. And well, the stage was set – an… [Read more…]
February 2, 2009
The attractiveness of the subprime lending market resulted in lenders engineering special subprime products. In order that the risk (inherent) of holding subprime assets is transferred, they created/used bankruptcy remote SPVs to securitize these assets. The securitization led to increased liquidity in the housing mortgage market which fueled further subprime lending and increased housing prices… [Read more…]
February 20, 2009
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