bail-in bonds

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    CDS Contracts Not Ready For The Ways We Go Bankrupt Now

    CDS, what is wrong with you? Here is how CDS should work: There are bonds. You buy CDS that is supposed to pay off if something goes wrong with the bonds. Something goes wrong with the bonds, insofar as they default. Like so: So you scoop up a Defaulted Bond, hand it to the CDS […]

    / Feb 11, 2013 at 3:01 PM

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