Sub-Prime

FT.com:
on the inevitable slowdown in the Residential Mortgage Backed Securities market. Of interest is the estimate of the effect on investment bank revenues. It does not actually seem that much.

"Brad Hintz, analyst at Sanford Bernstein, estimates that as investor appetite for CDOs grew, the RMBS business of major Wall Street firms ballooned to 15 per cent of total fixed income revenues. Subprime and Alt-A mortgages accounted for 25 per cent of RMBS total, he said."