I was reading: http://people.stern.nyu.edu/igiddy/ABS/absasia.pdf
for a high level overview of the construction of Asset Backed Securities as I found out recently that securitization has come to an all time high.
Curiously when reading page 14 where it describes why the securitizations are expected to be correctly the author provides the following: "After all, the financial guarantee company stands to lose the most if something goes wrong, and it will do all it can to avoid losses"
Clearly this didn't hold true in 2008 where it was found that many of the ratings agencies felt pressured to offer inaccurate ratings for business. What has changed so that this is less likely to happen today?