About: Credit Default Swaps

Euro & Finance 14-04-2010

Why getting tough on credit default swaps does more harm than good

''Speculators are said to have been involved in the escalation of the Greek crisis. For this reason, politicians want to ban the purchase of naked credit default swaps (CDSs). This would not be of any help to sovereign borrowers, however,'' writes Christian Weistroffer from Deutsche Bank Research in a March publication.