The dizzying growth in the credit derivatives market has been well-documented in the financial press. Volumes have expanded by over 2,000% since 2002, according to Isda. Economic factors, for example low global interest rates, certainly created the conditions for growth. But innovation within the industry also made a major contribution. Perhaps the best example of this is the development of credit default swap (CDS) indices.
What are CDS indices?
CDS indices are tradeable products that give invest