To be honest, I was kinda bummed to see my former employer’s name mentioned in the first major headline on this topic, but I can be certain that they will not be the last. I will be absolutely shocked if we don’t see certain rating agencies among all of the largest creaters of these instruments in future similar headlines.
Sorting through the mess that is only beginning to be borne by the purchasers of this junk is going to take years and lots of effort. For an entrepreneurial attorney, becoming an expert in this area will likely reap rewards over the next few years:
Lehman Brothers faces the threat of legal action by municipal councils in Australia over the sale of high-risk collateralised debt obligations by the Wall Street bank’s local subsidiary, Grange Securities.