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Financial Derivatives

C/F/57. Dissertation + Project Proposal. Are Credit Default Swaps toxic or sweet for Financial Stability?

WORDS:
10000
DATE:
2004
PRICE:
129.99 GBP

Credit derivatives market has seen a miraculous growth in the last few years. Credit derivatives are primarily used as a risk management tool, which allows financial institutions to transfer the risk. Investment banks are the main intermediaries that use credit derivatives for speculation, as well as for the risk management. This dissertation looks at the concentration within the intermediary market and assesses the dangers of such concentration to the financial stability. It is found that while some risks do exist within the intermediary market, the main threat to financial stability from concentration lies within the sellers market.

 

KEYWORDS: dissertation, project, proposal, credit, default, swaps, toxic, sweet, financial, stability,

 
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