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Credit Risk Transfer with Single-Name Credit Default Swaps

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The Palgrave Handbook of Unconventional Risk Transfer

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Abstract

Credit default swaps (CDSs) are the primary type of derivatives contracts with which market participants can protect themselves against the risk of a default by one or more underlying reference entities. We explore the recent market activity in CDSs, as well as the mechanics of CDSs, including documentation, triggering credit events on underlying reference entities, and settlement methods. We also explain how CDSs can be used to facilitate credit risk transfer.

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Author information

Authors and Affiliations

  1. Johns Hopkins Institute for Applied Economics, Global Health, and the Study of Business Enterprise, Baltimore, MD, USA

    Christopher L. Culp & Andria van der Merwe

  2. Swiss Finance Institute, Zurich, Switzerland

    Christopher L. Culp

  3. Risk Management Consulting Services, Inc., Chicago, IL, USA

    Christopher L. Culp

  4. Compass Lexecon, Chicago, IL, USA

    Christopher L. Culp, Andria van der Merwe & Bettina J. Stärkle

Authors
  1. Christopher L. Culp
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  2. Andria van der Merwe
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  3. Bettina J. Stärkle
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Corresponding author

Correspondence to Christopher L. Culp .

Editor information

Editors and Affiliations

  1. School of Economics and Management, University of Siena, Siena, Italy

    Maurizio Pompella

  2. Tobin College of Business, St. John’s University, New York, New York, USA

    Nicos A Scordis

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Culp, C.L., van der Merwe, A., Stärkle, B.J. (2017). Credit Risk Transfer with Single-Name Credit Default Swaps. In: Pompella, M., Scordis, N. (eds) The Palgrave Handbook of Unconventional Risk Transfer. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-59297-8_6

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  • DOI: https://doi.org/10.1007/978-3-319-59297-8_6

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  • Publisher Name: Palgrave Macmillan, Cham

  • Print ISBN: 978-3-319-59296-1

  • Online ISBN: 978-3-319-59297-8

  • eBook Packages: Economics and FinanceEconomics and Finance (R0)

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