How collateralised debt obligations (CDOs) work

Posted by on November 26, 2010 · Leave a Comment 

goldman-sachs-CDOs-Synthetic-CDS

Collateralized debt obligations (CDOs) are a type of asset-backed security (ABS) who are commonly blamed for the facilitation of the 2007 financial crash and the ensuing global financial crisis (GFC). CDO’s derive their value and payments from the underlying fixed-income assets, such as mortgages, to which the CDO is ‘attached’. CDOs have multiple tranches (categories) based... Read More

Category Investing Glossary · Tags , , , , , ,

Recent Comments

    Why we’re here

    MoneyHQ is specifically dedicated to providing younger Australian investors with the information to make better investing and money management decisions.

    We proudly support

    Opportunity International Australia. A charitable microfinance organisation.