Lehman Brothers Collapse

The collapse of Lehman Brothers, a global financial institution, on September 15, 2008, was a pivotal event in modern financial history. The company, founded in 1850, had been a major player in the global financial system, providing investment banking, capital markets, and asset management services. With over 150 years of experience, Lehman Brothers had established itself as a trusted and respected name in the financial industry. The collapse of Lehman Brothers was a direct result of the global financial crisis, which was triggered by the housing market bubble bursting in the United States. The company's exposure to subprime mortgage-backed securities, which had been deemed worthless by the market, led to a significant decline in its assets and a subsequent loss of investor confidence. Despite efforts to salvage the company, Lehman Brothers filed for Chapter 11 bankruptcy protection, sending shockwaves through the global financial system and triggering a credit crisis that would have far-reaching consequences for the world economy.