Thursday, July 21, 2011

Credit Default Swaps of UK and Germany increased by 50% in the last four weeks

The Hedgefonds are allready aiming at Great Britain and Germany.

A CDS is simply explained a insurance against credit shortfall in payment for bonds.For not involved stockmarket participants it's a indicator for predicted bonity of a country for the close future.
Nowadays is a derivative instrument available for allmost everthing,also debt insurances.This Credit Default Swaps are getting of course traded up and down and are a huge market with a very high volatility.

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