cheaprealty net

Here's an explanation from CNBC of how sub-prime mortgage backed securities were packaged and sold, along with a flip chart.

The brainiacs of wall street figured out a way to turn a portion of sub-prime into triple A paper arbitrarily - which helped sell the paper and the risk on.

But these securities aren't triple A, and if the brainiacs got the estimates on defaults wrong, LOOK OUT BELOW!!!