Except the 90% is not a vertical slice, it is horizontal. I.e, the first 10% of notional in losses on the whole portfolio goes back to the originator. The profi

Except the 90% is not a vertical slice, it is horizontal. I.e, the first 10% of notional in losses on the whole portfolio goes back to the originator. The profit on the transaction would have to be huge for this not to realign the incentives.