Credit Default Swaps (CDS) the new monolines

Wahey, party on dudes, just as the failure of the monolines has ceased to excite (they’re technically bust andabout to be dismembered) another beast rears its ugly head: Credit Default Swaps:

From wikipedia:

From Naked capitalism:
nakedcapitalism.com/2008/02/ … es-go.html

And so on. Lots more in the article and in the two op-ed newspaper articles referenced.

There was a fella in some french bank there a while ago lost a few quid when his bosses found out that a few positions he had built on their behalf that they thought were hedged weren’t… Jerome something or other?

From 2006 Mike Gasior explains credit default swaps - youtube.com/watch?v=H46lWvgypQ8

and another explanation - youtube.com/watch?v=P2cUh-e_Qkc

Now watch these…

Credit Default Swaps - the next crisis? pt 1
youtube.com/watch?v=xNuBN9KJRs8
**
Credit Default Swaps - the next crisis? pt 2**
youtube.com/watch?v=gJI8hbZbLdk

bloomberg.com/apps/news?pid= … WtGb.I1OSw