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requirements:use-cases:use-case-credit-default-swaps

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requirements:use-cases:use-case-credit-default-swaps [2016/11/01 14:50]
Jeremy Sevareid created - migrated from legacy github wiki
requirements:use-cases:use-case-credit-default-swaps [2016/11/02 13:42] (current)
Jeremy Sevareid Amend - fixed legacy wiki formatting and added TBD
Line 1: Line 1:
-FIXME+// TBD - References to back up assertions are needed. //
  
-Credit Default Swaps (CDS):+====== ​Credit Default Swaps (CDS) Use Case ======
  
 Like an insurance contract where the seller of the CDS will compensate the buyer in the event of a loan default or other credit event. CDSs are not traded on an exchange and there is no required reporting of transactions to a government agency. In addition to the basic, single-name swaps, there are basket default swaps (BDSs), index CDSs, funded CDSs (also called credit-linked notes), as well as loan-only credit default swaps (LCDS). Participants in this market currently face expensive and time consuming workflow involving replicated business logic and reconciliation among parties to the CDS transaction(s). Like an insurance contract where the seller of the CDS will compensate the buyer in the event of a loan default or other credit event. CDSs are not traded on an exchange and there is no required reporting of transactions to a government agency. In addition to the basic, single-name swaps, there are basket default swaps (BDSs), index CDSs, funded CDSs (also called credit-linked notes), as well as loan-only credit default swaps (LCDS). Participants in this market currently face expensive and time consuming workflow involving replicated business logic and reconciliation among parties to the CDS transaction(s).
requirements/use-cases/use-case-credit-default-swaps.txt ยท Last modified: 2016/11/02 13:42 by Jeremy Sevareid