EC4024 Financial Economics Lecture 16: CDO, CDS, and Ireland

This lecture introduces students to the CDO and CDS markets. We’ll talk about the structure of the markets, and describe how they are affecting Ireland at the moment. Here’s a 3 slides per page handout, and the slides are below.

Readings

Mike Jakola, Credit Default Swap Index Options

Credit Default Swaps: The Next Crisis?

CDS Data for European Options (ht. Baseline Scenario)

Next lecture: The European Central Bank & Investor Behaviour. Reading: Buiter, W: Why the United Kingdom Should Join the Eurozone.

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