One of the main lessons learned from the current crisis is that not all investments, whether collateralized debt or mortgage obligations, are what they appear, despite claims and even ratings by a third party.

A related lesson, especially in light of the recent Madoff scandal that has impacted several large financial institutions, is that banks must exercise their own due diligence not only in selecting their investments but also with the third parties with whom they deal.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.