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Digital Credit Default Swap

Unlike standard credit default swaps which require a valuation following a credit event (usually default), digital swaps simply specify payment...

Tranche-Loss CDS

A basket-linked credit default swap (basket-linked CDS) which protects the buyer (the long) from a range of cumulative losses of...

Credit Event Cash Settlement

In the context of credit default swaps (CDS) and similar credit derivatives, settlement takes place once a credit event (bankruptcy,...

Credit-Linked Note

A credit-linked hybrid that combines a note with a credit default swap. The face value of the note payable at...

Multi-Name Credit Derivative

A credit derivative whose underlying is a set of names, i.e., reference entities/ assets/ issuers. Typically, every credit derivative contract...

Credit-Linked Hybrid

A combination of an interest-bearing debt security or instrument and a credit default swap. The face value or principal amount...

CCDS

It stands for contingent credit default swap; a credit default swap (CDS) which is “contingent” upon the setting-off of two...

Contingent CDS

A credit default swap (CDS) which is “contingent” upon the setting-off of two triggers. The first, as in an ordinary...

Contingent Credit Default Swap

A credit default swap (CDS) which is “contingent” upon the setting-off of two triggers. The first, as in an ordinary...

Default Swap Spread

In connection with a default swap (or a credit default swap), it is the periodic payment that is made by...