And The Fastest Growing Bank Asset in 2017 Was… Subprime

By Tyler Durden

Submitted by Simon Black of Sovereign Man

They say that goldfish have the shortest memory in the Animal Kingdom… something like 3-seconds. But it turns out this isn’t actually true. Researchers at the Israeli Technion Institute of Technology conducted an experiment in 2009 proving that even the tiniest fish could be trained to recall certain sounds after as long as FIVE MONTHS.

According to another study from the University of Chicago, Dolphins ostensibly have the best memories in the Animal Kingdom, and in an experiment were able to recall a distinct whistle after 20 YEARS.

Then there are bankers… financius dumbassus, a curious species not fully related to the Animal Kingdom, somewhat descended from protozoa, who display truly bizarre behavior when it comes to memory function.

Case in point: Throughout the mid-2000s, bankers engaged in woefully short-sighted, self-destructive behavior by loaning their depositors’ money to risky borrowers who put no money down to buy overpriced houses.

These loans called ‘subprime mortgages’. And before long, some even more self-destructive bankers began packing thousands of these subprime mortgages together into gigantic bonds, which bankers would trade among themselves.

Everybody in the financial system was in on it.

The mortgage brokers raked in huge fees for closing individual loans. …read more

Source:: ZeroHedge