Flat Yield Curve - Winners & Loosers?

[SRmanager]

I am trying to figure out companies that loose when the yield curve flattens. The obvious candidates are financial firms but I can't come up with easy short targets.

I would be interested in what others have to say.

Cheers

[SRmanager]

Shorting the most vulnerable mortgage lenders (subprime lenders) is one possible way. Here is an interesting link:

http://www.nationalmortgagenews.com/nmn/stocks.htm

Publicly Traded Subprime Lenders

National Mortgage News tracks the stock prices of the publicly traded subprime lenders. For the purposes of this table "subprime lenders" include mortgage lenders that are predominantly involved in making loans to people with blemished credit records as well as high LTV lenders, i.e. lenders who make a substantial portion of their mortgages at loan-to-value ratios of 100% or more.