CLOs are the new CDOs of '08.

Discussion in 'Trading' started by hhiusa, Mar 20, 2020.

Will CLOs create the new recession like 2008

  1. Yes

    0 vote(s)
    0.0%
  2. No

    100.0%
  1. hhiusa

    hhiusa

    So the principle in 2008 was to bundle a few good mortgages with lots of bad mortgages and sell the debt as CDOs. What is old is new again. CLOs may not be that new, but they have experienced a huge uptick in interest.
    Screen Shot 2020-03-20 at 1.29.55 PM.png
     
  2. You do realize mixing risk together is called diversification....
     
  3. hhiusa

    hhiusa

    Diversifying s$%^ is stil sh%#.