credit default swap spread

credit default swap spread
USA
credit default spread, Also known as a credit default swap spread or a credit spread (or sometimes, simply, the spread).
In derivatives, an amount, typically specified in basis points, above LIBOR that a credit protection seller charges a credit protection buyer for credit protection in a credit derivative transaction, usually a credit default swap (CDS). The spread is essentially a fee that represents the price of selling credit protection on a particular reference entity. The higher the spread, the greater the credit risk of the reference entity.
See also

Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

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  • Credit Default Swap — Les dérivés sur événement de crédit[1] ou en anglais Credit Default Swaps (CDS) sont des contrats financiers de protection, entre acheteurs et vendeurs. L acheteur de protection verse une prime[2] ex ante annuelle calculée sur le montant… …   Wikipédia en Français

  • Credit default swap — If the reference bond performs without default, the protection buyer pays quarterly payments to the seller until maturity …   Wikipedia

  • Credit Default Swap — Ein Credit Default Swap (CDS, engl. für Kreditausfall Swap) ist ein Kreditderivat, das es erlaubt, Ausfallrisiken von Krediten, Anleihen oder Schuldnernamen zu handeln. Ein CDS ist ein Vertrag zwischen zwei Parteien, der Bezug auf einen… …   Deutsch Wikipedia

  • Credit default swap — Produits dérivés financiers Produits fermes Forwards (Contrat de gré à gré) Futures (Contrat à terme) Swaps (Échange financier) Produits optionnels Options et Warrants Credit default swap (couvertures de défaillance) …   Wikipédia en Français

  • Credit default swap index — A credit default swap index is a credit derivative used to hedge credit risk or to take a position on a basket of credit entities. Unlike a credit default swap, which is an over the counter credit derivative, a credit default swap index is a… …   Wikipedia

  • Constant maturity credit default swap — A constant maturity credit default swap (CMCDS) is a type of credit derivative product, similar to a standard Credit Default Swap (CDS). Addressing CMCDS typically requires prior understanding of credit default swaps. In a CMCDS the protection… …   Wikipedia

  • credit default spread — USA credit default spread, Also known as a credit default swap spread or a credit spread (or sometimes, simply, the spread). In derivatives, an amount, typically specified in basis points, above LIBOR that a …   Law dictionary

  • Constant Maturity Credit Default Swap — A Constant Maturity Credit Default Swap or (CMCDS) is a type of credit derivative product, similar to a standard Credit Default Swap. The difference is that a CMCDS pays a floating spread, using a traded CDS as a reference index. CMCDS may… …   Wikipedia

  • Credit default option — In finance, a default option, credit default swaption or credit default option is an option to buy protection (payer option) or sell protection (receiver option) as a credit default swap on a specific reference credit with a specific maturity.… …   Wikipedia

  • Credit Default Swaps — Ein Credit Default Swap (CDS) ist ein Kreditderivat zum Handeln von Ausfallrisiken von Krediten, Anleihen oder Schuldnernamen. Eine Vertragspartei, der Sicherungsnehmer, bezahlt normalerweise regelmäßig – häufig vierteljährlich oder halbjährlich… …   Deutsch Wikipedia

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