mortgage-backed securities

Why This Fed Move Was Different From Every Move It Made Before

Everyone expected Fed Chairman Ben Bernanke to announce another round of Quantitative Easing Thursday, and he did. But in the past, there have always been defined limits on how far the Fed would go. This time, there are none. Here's why he said it, and why it's huge.

GS Deal Exposed; BofA Deal Nixed

Two surprises in the finance biz: A small group of bond investors has thrown a wrench into Bank of America's massive mortgage securities settlement, while the Fed revealed a secret $15 billion loan it made to Goldman Sachs in 2008. But in retail, there are no bad surprises on same-store sales so far.

The Financial Landscape: BAC Settles, FINRA Flexes

Bank of America will soon finalize an $8.5 billion agreement to settle investor claims that Countrywide sold them lousy mortgage-backed securities before the housing bust. Meanwhile, private regulator FINRA is angling to take over the watchdog role for registered investment advisers.

The Financial Landscape: SEC Fines JPM Over CDOs

The news across the financial world is good for unions, which will find organizing a bit easier; adequate for Greece, which will find getting bailed out a bit easier, and bitter for JPMorgan which had to accept a $153.6 million SEC fine for misleading investors about a mortgage securities transaction.

Investor Lawsuits Are Raising the Heat on Bank of America for 'Putbacks'

When Countrywide Financial created deeply flawed mortgage-backed securities, it wasn't just selling bad financial products: It was breaking its contracts. Now some ordinary investors are suing Countrywide's buyer, Bank of America, to force it to repurchase those bad mortgages. That's their right, but there's nothing simple about this case, or its ramifications.

Goldman Sachs Fined by FINRA for Disclosure Delays

Goldman Sachs has been fined $650,000 by the Financial Industry Regulatory Authority for failing to properly disclose to regulators that two of its executives were going to be investigated by the Securities & Exchange Commission, FINRA announced Tuesday.

Why Credit Ratings Have Outlived Their Usefulness

While defending the rating agencies last week before the Financial Crisis Inquiry Commission, Warren Buffett also admitted, "I don't need them." It seems that more and more, the financial markets are coming to agree with Buffett's stance on ratings.

Who's at Fault for the Financial Crisis? Everyone

Before the Financial Crisis Inquiry Commission, Warren Buffett essentially said this: We are all of us, himself included, a bunch of junkies -- and history shows that markets will always oblige us with a fix.

Behind the $4 Trillion in CDOs: Sneaky Banks and Worthless Ratings

CDOs were a way for investment banks to evade their capital requirements, just as asset-backed securities played a similar role for savings and loan institutions in the 1980s. This time around the banks had plenty of help, especially from fee-hungry credit agencies.

Deconstructing Goldman's Fraud Defense

The giant bank is defending itself based on four claims it's making to counter the SEC's charges. Our legal reporter thinks the SEC has a stronger -- but not a slam-dunk -- case than Goldman Sachs on the first three points. The fourth is more up in the air.

Housing Is Utterly Dependent on Washington

Many are heralding the recent blip up in housing starts as evidence that housing is "turning the corner." But let's not forget that unprecedented government intervention throughout the mortgage and housing industries is the only thing keeping these markets afloat.