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A comment on A visualisation of all of the money in the world. Parent comment

Re:A visualisation of all of the money in the world by RobertoG on Friday December 18, 2015 @10:20AM (#10758868)
Over-enthusiastic mortgage lending to poor borrowers without risk, because the risk was wisely managed and diversified through perfectly designed, financial, innovative products that covered all the bases (for a nice commission, of course).
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Re:A visualisation of all of the money in the world by skylan_q on Friday December 18, 2015 @11:37AM (#10759301)
The mortgages everything was based on were junk, because they were guaranteed by the GSEs that couldn't handle the rate and size of the defaults on junk mortgages.

Everything based on junk mortgages were junk.

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Re:A visualisation of all of the money in the world by retube on Friday December 18, 2015 @10:31AM (#10758920)
Yes but those products (Mortgage backed Securities) are cash products, like a bond or equity, NOT a derivative.
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Re:A visualisation of all of the money in the world by RobertoG on Friday December 18, 2015 @10:40AM (#10758978)
Depends on the definition. The wikipedia editors think it is:

https://en.wikipedia.org/wiki/Derivative_%28finance%29#Mortg...

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