The thing that absolutely pisses me off about these failing hedgies is that these failures were avoidable. The loan originators cooked a large percentage of the books on these instruments and these investors bought them without checking on them.
Had the investors wanted to buy clean loans they could have gotten them. They didn’t care about anything other than the profit margins so the loan originators gave it to them. “Market Demand” in action.
I say that everyone in those pipelines should get sued, right down to the idiot appraisers who rubber stamped these stupid deals.
