China Dili Group (RNHEF)

[ShysterChaser]

Tonight my wife and I hosted the inventor of securitized mortage loans. He started it back in the 1980s as the President of a bank.

He made lots of money, but a heart attack from the stress almost did him in, so he retired. He informed us that he only did whole mortgage loans, not slices; he had documentation and histories on each and every loan. He bundled them by locales. Before he did the deal, his counter-parties were all lined up and the standards were assured and guaranteed.

This most knowledgeable and estimable fellow told us that it was the subprime loans, the nInJA loans, the garbage that destroyed the game. They killed a golden goose by doing away with solid underwriting and corrupted the system. The eventual collapse was foreordained in 2004.