Cash CDOs: Balance Sheet, Arbitrage, and How They Really Work
Book: Structured Finance and Insurance: The ART of Managing Capital and Risk Author: Christopher L. Culp Publisher: Wiley Finance, 2006 ISBN: 978-0-471-70631-1
Cdo
The Big Short Chapter 3: How Can a Guy Who Can't Speak English Lie?
This chapter introduces one of the most entertaining characters in the whole book. His name is Greg Lippmann, he is a bond trader at Deutsche Bank, and he is exactly the kind of person you would never trust with your money. Which is exactly why his story is so good.
Credit Derivatives: CDS, CDOs, and the Products That Blew Up
If you hold a bond and the issuer might default, you want insurance. That is the basic idea behind credit derivatives. You pay someone a regular premium, and if the bad thing happens, they pay you. Chapter 41 of Wilmott’s book walks through the main types of credit derivatives, from simple default swaps to the multi-name products that helped blow up the global financial system in 2008.