Free Republic 3rd Qtr 2025 Fundraising Target: $81,000 Receipts & Pledges to-date: $2,760
3%  
Woo hoo!! 3rd Qtr 2025 FReepathon is now underway!!

Keyword: crisisderivatives

Brevity: Headers | « Text »
  • Citi plans crisis derivatives(too-big-to-fail playing with fire again?)

    02/09/2010 8:06:43 AM PST · by TigerLikesRooster · 7 replies · 302+ views
    Risk.net ^ | 02/08/10
    Citi plans crisis derivatives Author: Laurie Carver Source: Risk magazine | 08 Feb 2010 Categories: Derivatives Topics: Citi, hedging, liquidity crisis bankrupt Credit specialists at Citi are considering launching the first derivatives intended to pay out in the event of a financial crisis. The firm has drawn up plans for a tradable liquidity index, known as the CLX, on which products could be structured that allow buyers to hedge a spike in funding costs. Like the untraded US rates liquidity index (USRLI), the CLX is constructed as a sum of the Sharpe ratio – deviations from the mean divided by...