CDO's are back was the lesson not learned?

For most of you reading this a CDO will look like something out a science fiction novel. You will wonder if it is the name of the alien that come to take over and conquer earth. Unfortunately it is something even more nefarious, a CDO or collatorized debt obligation is a basket of mortgage backed securitites with varying degrees of risk attached to it. The concerning aspect is these are the very securities that helped to cause the mortgage crisis and financial meltdown in 2007 and 2008. Einstein says the definition of insanity is doing the same thing over and over and expecting different results. Of course we would ignore the meltdown and go back to business as usual.

Even more concerning is the fact that they have been renamed as a bespoke tranche opportunity. The persons selling these products know that they are inherantly risky and have questionable investment value so it is smart sales to change the name and avoid the ugly reality of this product's risk. Are heading for another financial crisis? Let me know in the comments below.