Investors rap MBIA over Eurotunnel payout
| Online Extra: How banks are muscling in on the monolines’ infrastructure busines |
OH, HOW QUICKLY they forget. Having nursed several of the largest structured finance markets through their formative years, the monoline guaranty insurance industry is now having to come to grips with the fact that, in many cases, these issuers simply do not need them any more. They never visit, they never call – like a neglected parent with an empty postbag at Christmas, the monolines have been relegated to the attic of the booming structured finance market. But as any student who has blown his overdraft on too much high living knows, there is a chance that at some stage there will need to be a call home to ask for some much-needed credit enhancement. And as far as the over-leveraged and over-extended credit market is concerned, the monolines are standing by the phone, tapping their feet, just waiting to take that "I told you so" call.
