For those who have not had to deal directly with the mortgage and credit crises over the past last year, Roger Lowenstein of The New York Times Magazine has provided a thoughtful overview of…
Is there any good news for mortgage borrowers? Well, there is some. Because of aggressive monetary easing by the Federal Reserve, short-term interest rates have fallen enough that the threat…
Last summer my colleagues and I published a position paper titled “Subprime Strikeout: Assessing the Subprime Mortgage Market.” “Subprime Strikeout” summarized the development of the subprime mortgage market, examined the…
The ongoing distress in capital markets has had a profound impact on municipalities that have traditionally relied on short-term funding in the auction-rate market. As liquidity has been at a…
We are currently experiencing the effects of excessive leverage in the mortgage market. Are increasingly levered college students and new graduates about to experience the same phenomena? I discussed this…
Read More Are mortgage defaults a glimpse into the future for student loans?
Today Forbes published an article on the role of lenders’ over-reliance on FICO scores in the current mortgage crisis. Reporter Michael Maiello concurs with several conclusions from “Subprime Strikeout“ regarding over-emphasis on…
Christian Science Monitor reporter Ron Scherer published an article detailing the magnitude of the interest rate resets subprime borrowers are facing, the difficulties they will have in making their reset…
Today the Wall Street Journal published a Page One story on the subprime mortgage market entitled “Credit and Blame: How Rating Firms’ Calls Fueled the Subprime Mess”. Aaron Lucchetti and…
Read More WSJ: How Rating Firms’ Calls Fueled the Subprime Mess
Today I published “Subprime Strikeout: Assessing the Subprime Mortgage Market”. The paper is co-authored by Jon Thompson and Lena Harhaj, colleagues of mine in the Structured Finance group at Advantus…
