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Basics
of Credit Derivatives
Credit
Derivatives: Market Info and awareness
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Credit derivatives terminology
By
Vinod Kothari Reference obligation: The obligations of the reference entity with reference to which the credit derivative is written or credit-linked notes are issued. The reference asset forms the basis of the credit derivative transaction. The intent of the protection buyer is to transfer the pre-defined risks in the reference asset. The reference asset may or may not be actually held by the protection buyer.
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