After spreading the risk everywhere through securitization, banks and brokers are now facing some difficult choices
Ratings agency primarily concerned about wholesale banks
Less than 5% of total net revenue attributable to subprime mortgage activities, Fitch says
Losses from U.S. subprime market expected to be manageable
Shock-absorption capacity core financial system is very high
Pilot scheduled to begin in fourth quarter
Emphasizes need for meaningful disclosure to borrowers of lending terms