The Next Big Dump

Vardi, Nathan
December 2008
Forbes Asia;12/8/2008, Vol. 4 Issue 21, p50
The article focuses on collateralized debt obligations (CDOs), pools of loans and other assets cut into slices with different risks. It presents the problem in CDOs which is in mess in the private sector as $1.5 trillion in CDOs issued during the credit bubble sparks a fight over who should be paid and when. It presents an estimated $272 billion CDOs which have defaulted wherein $96 billion are in liquidation and $80 billion has become due and payable.


Related Articles

  • New hybrid CDOs, fueled by ABS default swaps, steal show in 2005. A. P. // Asset Securitization Report;12/19/2005, Vol. 5 Issue 48, p1 

    The article reports that the newest developments and dramatic growth within the single-name home equity asset-backed security (ABS) credit default swap market has been responsible for some of the biggest innovations within the structured finance collateralized debt obligation (CDO) sector during...

  • CDO Liquidations Raise Stakes. D. M. // Asset Securitization Report;4/14/2008, Vol. 8 Issue 15, p8 

    The article examines the impact of the collateralized debt obligation (CDO) liquidations on the securitization market. Another major wave of CDO liquidations is determined to hit the market when at least $2.8 billion of high-grade CDO transactions cited to credit card, auto and airplane...

  • Wachovia: 36% More CLOs Breach Tests.  // Bank Loan Report;2/16/2009, Vol. 24 Issue 7, p3 

    The article reports that Wachovia Corp. has revealed that the number of collateralized loan obligations (CLOs) breaching their overcollateralization and interest diversion tests has increased by 36% in January 2009 in the U.S. It states that the increase means that 125 of the 508 U.S. CLOs sold...

  • Collateralised Loan Obligations (CLOs) - A Primer: ASSET-BACKED SECURITISATION - MOTIVATION AND ADVANTAGES OF COLLATERALISED DEBT OBLIGATIONS (CDOs).  // Securitization Conduit;2003, Vol. 6 Issue 1-4, p13 

    Discusses the benefits of asset-backed securitisation. Forms of collateralized debt obligations; Objectives that are being advanced by securitisation; Approach used in order to obtain capital relief and gain liquidity by exploiting regulatory capital arbitrage opportunities; Description of the...

  • Bear Stearns' Debacle Saps Tapped-out CDO Market.  // Asset Securitization Report;7/2/2007, Vol. 7 Issue 26, p11 

    The article focuses on the possibility for other companies to suffer losses within the asset-backed securities collateralized debt obligations (ABS CDO) market in the U.S. A report from JPMorgan Securities noted that the liquidation of some high-grade structure finance CDO positions at wide...

  • CPDO: The new kid on the block. A. P. // Asset Securitization Report;11/6/2006, Vol. 6 Issue 42, p1 

    The article reports on the first collateralized debt obligation (CDO) deal made by ABN Amro Inc. with constant proportion debt obligations. A variety of constant proportion portfolio insurance (CPPI) deals, some of the rating and valuation challenges posed by the changing nature of CPPI are...

  • Looking Across The Abyss, CDOs Will Come Back In Simpler Form, Some Market Participants Say. Platt, Gordon // Global Finance;Mar2008, Vol. 22 Issue 3, p60 

    The article focuses on the belief that collateralized debt obligations (CDOs) and other forms of securitization will return and have their place in a modern financial system once the crisis is over in the U.S. According to Greg Cioffi, partner at Seward & Kissel, securitization is indeed a vital...

  • Chase: More CDOs Have Default Issues.  // American Banker;8/20/2008, Vol. 173 Issue 161, p13 

    This article discusses the increasing rate at which collateralized debt obligations (CDOs) are experiencing events of default in the U.S. market. The author states that this increase is particularly true of mortgage-linked CDOs and examines how these defaults could potentially lead to...

  • CDO PIPELINE - U.S. MARKET.  // Asset Securitization Report;9/20/2004, Vol. 4 Issue 36, p9 

    Presents a chart depicting the collateralized debt obligations in the U.S. market as of September 2004.


Read the Article


Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics