Bearing is shorting the underwriter. We are short Bear Stearns, Merrill Lynch, Lehman. Anyone involved in structured finance.
Bear, Merrill and Lehman is who has let this structured finance get carried to a whole new level. It’s like each has a role in a play, you had an originator, you had a borrower, and you have Wall Street, buying and securitizing all that paper. This is who sold it to a group of people reaching for that yield.
~Bill Laggner, Bearing Asset Management, "Respect is Due", Hedgefund.net, March 23, 2007