financial devastation

What Started Happening To CDOs In 2007?

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What Started Happening To CDOs In 2007? In 2007, defaults were rising in the mortgage market which underpinned many CDOs, making them unstable and causing them to lose value quickly. As the CDO market collapsed, much of the derivatives market fell, hedge funds and other major institutions folded, and the credit crisis was created. What

What Was The Cause Of Lehman Brothers Collapse?

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What Was The Cause Of Lehman Brothers Collapse? The company acquired a number of lenders, several of whom focused on providing the subprime loans that the U.S. government had been pushing since the turn of the century. Their huge investments in MBS, many of which were teeming with subprime mortgage loans, is what caused the