Monday, May 21, 2007

U.S. loan derivative index launch to spur liquidity

(Reuters) - Credit default swaps are insurance-like securities
that protect against borrowers defaulting on their debt.




"I think it will have a significant impact in the market
and will increase liquidity in single-name loan CDS," said
Jeremy Vogelmann, loan credit default swap trader at Barclays
Capital in New York.


Read more at Reuters.com Bonds News

2 comments:

Anonymous said...

i read the article..have any idea of minimum balance to open an institutional acct. in credit swaps (i'm owner of an institution)

every time i call or email all the major (and minor ) market-maker banks they don't wanna talk to non-institutionals (who are'nt substansial,like my self) A position in a Single-name would cost the credit spread rate (bps)+ collateral which varies with respect to credit spread movement around a threshhold (+/- 2.5m)..that's not hard to achieve ,but they won't provide account info.

Anonymous said...

i read the article..have any idea of minimum balance to open an institutional acct. in credit swaps (i'm owner of an institution)

every time i call or email all the major (and minor ) market-maker banks they don't wanna talk to non-institutionals (who are'nt substansial,like my self) A position in a Single-name would cost the credit spread rate (bps)+ collateral which varies with respect to credit spread movement around a threshhold (+/- 2.5m)..that's not hard to achieve ,but they won't provide account info.