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Essentially not a great deal! A Collateralised Debt Obligation (CDO) is a product whereby a Special Purpose Vehicle (SPV) is populated with a wide variety of assets. The returns from these assets are then split by risk such that depending on your risk aversion/investment profile you can buy highly rated tranches of a CDO with lower rates of return, or alternatively more risky tranches with higher rates of return.
A Collateralised Loan Obligation (CLO) only has loans in the SPV.
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What is the difference between cdo and cmo?
CMO is the securitized Collateralized Mortgage Obligation. CDO is the "insurance" issued against the CMO in case of default. President Clinton in 2000 signed into law the ability for financial institutions to write this "insurance". They could not call it insurance or it would be regulated by insurance laws which governs the process including how much the insurer must have in excess of what they are insuring. The fact that it was not called insurance and the subsequent resistance of any regulation allowed institutions offering CDOs to operate without having any funds in reserves to cover a default by the underlying CMO.
What is the difference between center and middle?
Is the same as the difference between middle and center
Difference between visa refusal and denial?
what is the difference between refusal and denial
What is the difference between financial budget and a financial budget?
There is no difference between them.. Their difference only is how you understood about financial budget.. :)
What is the difference between a consolidation and a merger?
there is no difference.
Owner of cdo factory?
owner of cdo
Names of CDO city officials?
=who are the CDO city officials 2009?....=
Who is the owner of CDO product?
Corazon D. Havier is the owner of CDO.. hope it can help :))
What is the formula for hypochlorite ion?
ClO-
What is the chemical formula of zinc hypochlorite?
The chemical formula of zinc hypochlorite is Zn(ClO)2.
What is the symbol of hypochlorite?
The symbol for hypochlorite is ClO-.
What is the name for the binary ionic compound for CdO?
The name for the binary ionic compound CdO is cadmium oxide.
What is the conjugate of CLO?
HClO. ClO and a - charge, which means it wants a proton. Therefor, the H comes and attaches itself to ClO making HClO
What actors and actresses appeared in La storia di Clo-Clo - 1923?
The cast of La storia di Clo-Clo - 1923 includes: Vittorio Pieri as il Conte zio Franz Sala
What type of bond is in ClO?
The bond in ClO is a covalent bond. In ClO, chlorine and oxygen share a pair of electrons to form a single covalent bond.
Who is the owner of cdo FOODS?
Potang ina!
What is the oxidation state of ClO?
The oxidation state of ClO is +1. Each oxygen atom in ClO carries an oxidation state of -2, and since the overall charge of ClO is neutral, the oxidation state of chlorine must be +1 to balance out the charges.
