Securitized assets backed by subprime mortgages that were traded as investment grade securities became known as ____________ during the great credit crisis of 2007-2009.

Question

Quizplus · Accepted Answer

These assets were referred to as "toxic assets" because they contained loans that were given to borrowers with poor credit histories, which significantly increased the risk of default. When the housing bubble burst, the value of these securities plummeted, contributing to the financial crisis.

Securitized Assets Backed by Subprime Mortgages That Were Traded as Investment