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FASB rule baffles CDO market

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The long-awaited guidance from the US Financial Accounting Standards Board (FASB) on financial reporting for special-purpose entities (SPEs) has failed to enlighten the structured finance community as to its implications on accounting for collateralised debt obligations (CDOs).

“After a long and tortuous process FASB did release this guidance, and it is very surprising to me that there is still

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