How we cite our quotes: (Chapter.Paragraph)
Quote #7
Moody's and S&P were piling up these triple-B bonds, assuming they were diversified, and bestowing ratings on them—without ever knowing what was behind the bonds! (5.57)
Once again, the hypocrisy of the ratings agencies is so blatant it makes our heads spin. To put it in metaphorical terms, this would be like if not a single person who voted for the Oscars actually watched the movies in question, but instead relied on a friend's two-sentence Facebook review to make their determination. Oh, brother.
Quote #8
He told Eisman that his main fear was that the U.S. economy would strengthen, and dissuade hedge funds from placing bigger bets against the subprime mortgage market. (6.18)
This is Wing Chau, by the way, and he's the most hypocritical of the bunch. Although he deals in mortgage bonds, he doesn't care one way or another how well they actually do in the market, as he doesn't hold any liability for them himself. How would you feel if your parents' retirement fund ended up investing with someone like that?
Quote #9
One of the Bear Stearns CDO guys [...] said, "Seven years? I don't care about seven years. I just need it to last for another two." (6.27)
This is the ultimate hypocrisy. The individual traders on Wall Street don't care about the long-term success of their clients, because they think they'll be working somewhere else by then, having presumably collected a fat bonus check in the process. Gross.