toxic waste
 n.— «Basis Capital had assets worth $1 billion as recently as May, before reporting that its Aust-Rim Fund and Yield Fund lost 9 percent and 14 percent, respectively, in June. The funds ran into trouble by investing in the unrated, riskiest portions of collateralized debt obligations. These portions, often referred to as “toxic waste” by bankers, are first in line for any losses when borrowers miss mortgage payments.» —“Bear Stearns seems to weather hedge fund debacle well” by Laura Cochrane in Melbourne, Australia International Herald Tribune (Paris, France) July 24, 2007. (source: Double-Tongued Dictionary)

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