There is a forced complexity to this recent spate of financial innovation, forced in that it appears designed to be obscure to all who try and understand before they invest. Consider also that Moody's said yesterday (Financial Times front page story by Shahlen Nasiripour) that they did not understand the MF Global bet that brought down the company. These people are supposed to be able to assess financial products and transactions to rate them, so now (after being caught in payola during the securitization hysteria) they are claiming ignorance. I am beginning to think that there has been a planned design of embedded appearance of ignorance so to prevent liability. It seems that the financial wizards have made every attempt to make other people pay and lose when they have designed products that can only fail (so they can bet against them). Note Gillian Tett's book, Fool's Gold on this: http://www.alibris.com/....
See Thurman Arnold's, The Folklore of Capitalism, 1937. He was FDR's trust busting Assistant Attorney General.