In 2013, the bank was given a first penalty it had to pay $1.9 billion to then-nationalized US construction financiers Freddie Mac and Fannie Mae. Meanwhile, internally, Deutsche Bank had long bet on a crash - and made a lot of money doing so. When the market collapsed, the bonds were instantly worthless. It was above all Deutsche Bank that bought up the poorly secured mortgages from US home buyers, wrapped them up in highly complex financial products, slapped them with top ratings, and sold them on to other banks as secure investment products.
Subprime credits are considered to be what caused the global financial crisis. To view this video please enable JavaScript, and consider upgrading to a web browser that supports HTML5 video US mortgage transactions
