TITLE

CDS Market May Boost Bankruptcies

AUTHOR(S)
M. S.
PUB. DATE
June 2008
SOURCE
Bank Loan Report;6/30/2008, Vol. 23 Issue 26, p5
SOURCE TYPE
Trade Publication
DOC. TYPE
Article
ABSTRACT
The article focuses on the impact of credit default swaps (CDS) market on the U.S. banking industry. It notes that CDS holders may not have the same incentive as the other investors to keep companies due to bankruptcies or restructuring. Data shows that the market has grown over the last several years. This suggests that many investors have insurance on their bonds protecting them against bankruptcies and covenant defaults with payment guarantees.
ACCESSION #
32927161

 

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