4  BIS Review 45/2008  The structured credit products that are part of a safer banking system are likely to be simpler and more transparent. Recent experience has shown that more readily understood products would be in banks' own self-interest.
Banks and investors must devote more effort to due diligence when investing in structured products, and they must avoid relying so heavily on credit rating agencies to do all their homework for them. Banks must continue to focus on improving their management of counterparty risks.