Understanding the financial crisis as a chance for IT: More transparency for more trust.

Philip Moyer (CEO EdgarOnline and member of the board XBRL US) explains in this manifesto how XML/XBRL could help to overcome the loss in mutual trust causing (inter alia) the global financial crisis.

The bottom line of the easily accessible white paper is: Transparency is at least as important as regulation. XML-based, standardised documentation of all steps in the mortgage securitisation could reduce investors risk. Knowing the underlying cash flows allows for reliable pricing of the securities. This could jump start the market for Mortgage Backed Securities (MBS) again.