AT LAST..... when the financial crisis bit us all in the backside, and the documentary programmes started to be made, one massive truth seemed to emerge. Among all the greed and double-dealing that doubtless went on in the banks, one big, unmentioned fact seemed to be lurking in the background, particularly in relation to how otherwise uninvolved financial institutions were dragged into buying these "repackaged" mortgage-debt instrument, CDOs.
The Credit Ratings Agencies. Standard & Poor and Moodys being the best known, these are the outfits whose job it was to "grade" the risk of all those obsure investment products. But they seemed to have run out of labels - except for "AAA".
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