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New solutions

The structured credit market has had to respond to sharply deteriorating credit quality with structural enhancements and new innovation. Despite record numbers of downgrades, demand for structured credit remains robust. Mark Pelham reports.

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Today it seems hardly a week goes by without the announcement of the launch of a new clutch of CDO and structured credit products, each, it seems, offering a new twist or unique selling point. This is not the usual marketing smoke and mirrors – structures are rapidly evolving in a variety of ways, though some of that development is in response to negative factors: concerns over losses, demand for

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