Associated Press reported “The listed mortgage-bond fund managed by private equity firm the Carlyle Group failed to meet margin calls with four banks last week, raising fears that its entire portfolio recently valued at $21 billion could be sold off. A collapse at Carlyle would eat away at the value of fixed-income securities, which have already dropped sharply as banks pull back on their lending, and force asset sales. “  If we see large scale default of mortgage-bonds funds then I believe we’ll see a significant commercial real estate crisis.  It might not be as bad as the S&L Crisis of the 80’s however it will result in the loss of value of real estate assets and force foreclosures.  Analyses are watching the CNBX index which tracks bonds backed by commercial mortgages.  The index is sending very sobering signals relating to the commercial real estate.