Better Double-Safe than Sorry? CDS Counterparty Risk Mitigation
In a recent post, we discussed the Oehmke and Zawadowski (2017) paper. The authors identify hedging, speculation, and arbitrage as
Read moreIn a recent post, we discussed the Oehmke and Zawadowski (2017) paper. The authors identify hedging, speculation, and arbitrage as
Read moreThe financial crisis 2007/2008 again revealed that counterparty risk is front and center in financial markets. A consequence of counterparty
Read moreWe supervised a thesis this semester on the impact of central clearing on market liquidity for credit default swaps (CDS).
Read moreWhat is the relation between central clearing and counterparty risk? Intuitively, it seems clear that a central clearing counterparty (CCP)
Read moreWhy the discussion about central clearing of credit default swap (CDS) contracts? For one thing, central clearing increases transparency. Once
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