News

Law

Asset Management

Investment Banking

Wealth

Hedge Funds

People

Newsletters

Events

Lists

ISDA expands credit derivative standards

The International Swaps and Derivatives Association has published documentation which will allow market participants to trade constant maturity default swaps.

They are relatively new credit derivative instruments based on the credit default swap contract, but whose fixed payment leg is reset periodically during the life of the transaction. Investors use them to hedge against or expose themselves to moves in credit spreads.

WSJ Logo