Credit Risk Models that Helped CDO, CDS Investors Will Soon Benefit Investors in the Mortgage Market
November 18, 2005
Increased use of derivatives in the collateralized debt obligation and credit default swaps markets has led to new modeling techniques for measuring credit risk and, ultimately, impressive growth in both markets in recent years. As some of those techniques make their way back to their original source, the mortgage market, one market analyst sees it as technology coming full circle – to the benefit of MBS investors. The recent growth of...
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