It’s now commonplace for investors, particularly those active in credit markets, to have conversations about how current conditions are similar to that of late 2007. In July 2007 credit market snapped out of their benign trend of tightening spreads. After a few months this calmed down and whilst spreads remained higher most sectors other than subprime residential and CDOs were seeing what we would now consider to be reasonable liquidity and pricing. In equities and property, it wasn’t until the final months of 2007 that any cracks became apparent.