2024-07-12 08:00:00 ET
Summary
- Mortgage-backed securities were a major cause of the 2008 stock market crash.
- The current commercial mortgage-backed securities seem to be a large issue.
- You have to engage in due diligence regarding the banks that house your hard-earned money - and you certainly cannot rely on the Fed.
We have been writing a lot about CRE lending and its impact on U.S. banks. Another part of this story is that quite a lot of CRE loans are packed into bonds, which are called CMBS (commercial mortgage-backed securities). There have been several interesting pieces of news that led to some notable movements in the CMBS market....
Read the full article on Seeking Alpha
For further details see:
Will Commercial Mortgage-Backed Securities Take The Markets Down Like In 2008?