The catalyst: ratings agency downgrades on structured products like collateralized debt obligations containing subprime-tainted mortgage collateral.
For more adventurous clients, Corso suggests high-quality tranches of collateralized debt obligations, or CLOs.
Collateralized debt obligations are securities backed by various assets, such as bonds and loans.
Some of these assets are extremely complicated: credit derivatives, collateralized debt obligations, credit defaults swaps.
About 75% of these so called HELOCS are secured by mostly un-collateralized second liens on the homes.
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Then, as now, transactions were rarely collateralized and the use of disciplined lending techniques were set aside.
The fund, which invested in collateralized debt obligations (CDOs), later failed and investors lost much of their investment.
New collateralized loan arrangements could also be attractive to private Western creditors, despite non-repayment of most Soviet debt.
Bryan Zwan, entrepreneur and prominent donor to the Church of Scientology, is now dealing in collateralized debt obligations.
The agency also dropped charges against Edward Steffelin last November for actions associated with collateralized debt obligations.
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Third, it's unwise to invest in vehicles like collateralized debt obligations and collateralized loan obligations that you don't understand.
Financial Engineering: Only a few very smart and ill-directed mathematicians can explain what underpins a Collateralized Debt Obligation (CDO).
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Junk mortgages were bundled, given the highest credit ratings, then sold to investors in vehicles like collateralized mortgage obligations.
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We are thinking about investment banks who package and sell collateralized debt obligations.
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Structured products like collateralized debt obligations have lost billions in value as the loans underlying their complex structures deteriorate.
Many subprime mortgages were combined with other kinds of borrowings and sold to investors via collateralized debt obligations.
What did you think of the investment banks that had enormous write-downs because of their involvement with collateralized debt obligations ?
Perhaps the most dangerous structured finance product of the last decade, collateralized debt and collateralized loan obligations are making a comeback.
Collateralized debt obligations (CDO) and other structured finance products trade over-the-counter rather than on an exchange, at least in the United States.
He told Millennium Group members their accounts would be converted to FIIK holdings and used for "collateralized loans" in Bias' energy venture.
Thirdly, the wholesale banking operations, the collateralized loans, the derivative positions, the futures, puts and calls would be in their own unit.
Trades are made in cash instruments, futures, forwards, options, structures, special purpose vehicles, collateralized products and can be OTC or exchange based.
"CDO" is a common term for collateralized debt obligation, an investment-grade security backed by a pool of bonds, loans and other assets.
They get paid promptly through a bank loan collateralized by the receivable.
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Several top bank executives even testified that they had no idea the leveraged collateralized debt obligations they were dealing in were high-risk.
Stan O'Neal, the chief executive, has tried to take the firm into all of these new areas like collateralized debt obligations, mortgage-backed securities.
Indeed, the Western purchasers of Russian goods or commodities should be the parties that make the deposit into the agreed Western collateralized account.
The second element of our response has been to offer liquidity support to the financial markets through a variety of collateralized lending programs.
Lehman's exposure to mortgage- and asset-backed securities and collateralized debt obligations is 400% of its tangible common equity, according to research by Sanford Bernstein.
Goldman faces civil fraud charges by the Securities and Exchange Commission for how it packaged and marketed a complex collateralized debt obligation in 2007.
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