Tranches of trepidation

Risk staff
01 May 2007

Tweet
Facebook
LinkedIn
Save this article
Send to
Print this page

Stress in the US housing and mortgage sector is causing concern among some participants in the US tranched credit derivatives market. Painful memories of the 2005 correlation crisis, when idiosyncratic risk in the form of downgrades and spread widening among auto sector credits caused huge mark-to-market losses, have been reawakened.

This time around, credit default swaps (CDSs) referencing the debt of four US homebuilders (Dallas-based Centex, Miami-based Lenmar, Michigan-based Pulte Homes

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to print this content. Please contact [email protected] to find out more.

You are currently unable to copy this content. Please contact [email protected] to find out more.

You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/

If you would like to purchase additional rights please email [email protected]

You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/

If you would like to purchase additional rights please email [email protected]