Collateralized debt obligations are exotic financial instruments that can be hard to understand. Learn the role they played in the 2008 financial crisis.
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A collateralized debt obligation (CDO) is a complex financial product backed by a pool of loans and other assets and sold to institutional investors.
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A collateralized debt obligation squared is a special purpose vehicle (SPV) with securitization payments backed by CDO tranches.
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Mortgage-backed securities (MBS) and collateralized debt obligations (CDOs) are technically two different financial instruments, though they share many ...
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A financial crisis is a situation where the value of assets drop rapidly and is often triggered by a panic or a run on banks.
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A collateralized debt obligation (CDO) is a complex structured finance product that is backed by a pool of loans and other assets and sold to institutional ...
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In June 2007, two big hedge funds failed, weighed down by investments in subprime loans. In August 2007, losses from subprime loan investments caused a panic ...
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A synthetic CDO is a collateralized debt obligation that invests in credit default swaps or other non-cash assets to gain exposure to fixed income.
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