asset backed bonds

The market for asset-backed securities has reopened after being frozen for a week. It's the first example of how unintended consequences from the Dodd-Frank overhaul can create mischief in the financial markets. Are bigger changes coming?

One of the reasons the U.S. got into the current economic mess is because mortgages were bundled into complex financial vehicles and sold to investors and so on down the road. Everybody profited handsomely, until people started defaulting on their mortgages, which started a chain reaction of...