Previous chapter:
Chapter 40 black swan scroll
Next chapter:
Chapter 42 lip print
PREVIEW
... pecific principles of these two types of bonds are very troublesome to explain. It can be simply understood as: subprime loans are the loan grades with the lowest credit for borrowers, so the risks are high and the interest is also high. CDOs are issued with high-interest subprime loans as collateral. As long as the real estate market continues to prosper and housing prices continue to rise, CDOs will earn relatively high returns because subprime loans rarely default.
CDS is a default swa ...
YOU MAY ALSO LIKE