The market in constant proportion debt obligations has negotiated its second index roll, which, like the last one, was seen by observers as a test of the product's resilience.
In a nutshell, CPDOs provide investors with exposure to a variety of assets via a basket of credit default swaps. The first deals were static, referencing indices only, while more recently the market has expanded to include managed deals, with exposure to single names.
The 10-year triple-A rated deals usually begin at 15
The week on Risk.net, July 7-13, 2018Receive this by email