“No longer were the prices of ordinary mortgage bonds allowed to roam inefficiently, for they were now linked to the CMO market,… — Michael Lewis Copy Share Image
“The creation of the mortgage bond market, a decade earlier, had extended Wall Street into a place it had never before been:… — Michael Lewis Copy Share Image
“This completed the curious reversal in roles that occurred in the early 1980s, when thrifts became traders and traders thrifts.” — Michael Lewis Copy Share Image
“Many thrifts layered a billion dollars of brand-new loans on top of their existing, disastrous hundred million dollars of old loss-making loans,… — Michael Lewis Copy Share Image
“These Ginnie Maes suck. They get longer [in maturity] when rates go up, and shorter when rates go down, and nobody wants… — Michael Lewis Copy Share Image
“For though there was no chance of persuading a pension fund manager looking to make a longer-term loan to buy a Freddie… — Michael Lewis Copy Share Image
“Because the lenders sold many—though not all—of the loans they made to other investors, in the form of mortgage bonds, the industry… — Michael Lewis Copy Share Image
“When Steve Eisman stumbled into this new, rapidly growing industry of specialty finance, the mortgage bond was about to be put to… — Michael Lewis Copy Share Image
