A portfolio default swap whose exact composition of obligors is not disclosed to the protection seller (in a credit derivative such as a credit default swap), or to investors in the case of a credit-linked note. The protection sellers or investors assume the credit risk of a portfolio that is merely known by selection criteria and not by the actual names of the constitutes (reference entities).
Derivatives
Derivatives have increasingly become very important tools in finance over the last three decades. Many different types of derivatives are now traded actively on ...
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