Cars can fill the sub-prime hole for bankers

The continuing tsunami of Chinese cash flooding into the global financial system has helped create an insatiable demand for new financial instruments that offer long-term security and steady returns. The banking sector rose to the challenge with characteristic ingenuity by inventing collateralized mortgage obligations (CMOs), the financial equivalent of quantum indeterminacy. Money managers, bankers and other investors rapidly seized upon CMOs before the idea suddenly became unfathomably unfashionable