George Soros more complex the originators of synthetic products the banks international bond rating agencies
Who commented that the super-boom got out of hand when products became so complicated that risk could not be accurately calculated? What happened to financial assets that made them harder to value? Who did rating agencies rely on for information to rate financial innovation products? When authorities could no longer calculate the risks of complex financial innovation products, who did they rely on for information? Who reassured investors by showing the risk of complex financial innovation products was actually less than they proved to be?
As financial assets became more and more complex, and harder and harder to value, investors were reassured by the fact that both the international bond rating agencies and bank regulators, who came to rely on them, accepted as valid some complex mathematical models which theoretically showed the risks were much smaller than they actually proved to be. George Soros commented that "The super-boom got out of hand when the new products became so complicated that the authorities could no longer calculate the risks and started relying on the risk management methods of the banks themselves. Similarly, the rating agencies relied on the information provided by the originators of synthetic products. It was a shocking abdication of responsibility."
question: Who commented that the super-boom got out of hand when products became so complicated that risk could not be accurately calculated?, answer: George Soros | question: What happened to financial assets that made them harder to value?, answer: more complex | question: Who did rating agencies rely on for information to rate financial innovation products?, answer: the originators of synthetic products | question: When authorities could no longer calculate the risks of complex financial innovation products, who did they rely on for information?, answer: the banks | question: Who reassured investors by showing the risk of complex financial innovation products was actually less than they proved to be?, answer: international bond rating agencies