ProPublica, Planet Money tackle CDOs with comic strip, song
ProPublica‘s Jake Bernstein and Jesse Eisinger tackled the very complicated issue of mortgage bonds known as collateralized debt obligations, or CDOs, to show how bankers created fake demand for the once lucrative product. They write:
“An analysis by research firm Thetica Systems, commissioned by ProPublica, shows that in the last years of the boom, CDOs had become the dominant purchaser of key, risky parts of other CDOs, largely replacing real investors like pension funds.”
Jake and Jesse worked with NPR’s Planet Money, which came up with the idea for a song, called “Bankers Song: We Didn’t See It Comin’,” Jake says.
The project also features a comic as a graphic to show how CDOs went into other CDOs, Jake says.
“We searched for metaphors but could never find an exact fit,” he says. “We had toyed with an assembly line to show the CDO process but it quickly became way too complicated. So, we fell into the comic format as a way to show the incentive of the manager to take assets from the bank and the disappearance of investors.”
First Tip: Find creative ways to illustrate a story.
“This topic is extraordinarily complex. Anything like a song or a comic that makes it more accessible, and frankly, more fun, is a most welcome addition,” Jake says.
Second Tip: “Don’t be afraid of complexity.”
Jake Bernstein
Jake suggests:
- Talk to as many people as possible.
- Don’t take no as the final answer.
- Enter every interview willing to learn.
- Don’t be afraid to return to your sources a dozen times if necessary to make sure you understand what they are telling you.
- Start writing early because once you try and write it out, you’ll really find out whether you understand it or not.
