CDO

A CDO is a collateralized debt obligation or collateralised debt obligation known collectively as CDOs. CDOs are a type of asset-backed security or structured credit product that offers exposure to the credit of a portfolio of fixed income assets, such as corporate or government debt, loans, asset-backed securities (ABS), including mortgage-backed securities (MBS) such as CMBS and MBS, known as CDOs of ABS or ABS CDOs, or other CDOs, known as CDO-squared or CDOs of CDOs. CDOs can be cashflow CDOs (referencing real assets) or synthetic CDOs (referencing credit derivatives, such as CDS) or hybrid CDOs (a mix of cashflow and synthetic). Typical CDOs divide the credit risk among different tranches: senior tranches (rated AAA), mezzanine tranches (AA to B) and equity tranches (unrated). Losses are applied in reverse order of seniority and so junior tranches offer higher coupons to compensate for the added risk. However, synthetic CDOs can be structured to offer single-tranche CDOs as well.

• SCI Start the Week - 6 February

  A look at the major activity in structured finance over the past seven days.

  Please noteFrom today, we will be sending out stories as soon as they are published. They will appea...

  News    6 February 2017

• Carlyle appoints senior consultant

  The Carlyle Group has named Craig Farr as a senior consultant with the global credit group. He will...

  Job Swaps    31 January 2017

• Academy adds structured products pair

  Academy Securities has made two additions to its structured products group, poaching Steve Kenney an...

  Job Swaps    31 January 2017

• SCI Start the Week - 30 January

  A look at the major activity in structured finance over the past seven days.

  Pipeline Additions to the pipeline started to pick up pace last week. There were seven ABS and eigh...

  News    30 January 2017

• SCI Start the Week - 23 January

  A look at the major activity in structured finance over the past seven days.

  Pipeline There was a clear skew towards auto ABS additions for the pipeline last week. As...

  News    23 January 2017

• MS names structured credit chief

  Morgan Stanley is moving one of its EMEA capital markets co-heads into Morgan Stanley Investment Man...

  Job Swaps    20 January 2017

• Ratings suits settled

  The US Department of Justice, 21 states and the District of Columbia have reached a nearly US$864m s...

  Job Swaps    16 January 2017

• SCI Start the Week - 16 January

  A look at the major activity in structured finance over the past seven days.

  Pipeline There were a few more additions to the pipeline last week. The final count consisted of tw...

  News    16 January 2017

• Carlyle promotes structured pro

  The Carlyle Group has promoted 62 professionals to senior positions, including 13 new partners. Amon...

  Job Swaps    12 January 2017

• CDO charges partially overturned

  The US SEC has partially overturned a decision penalising Wing Chau and his former firm Harding Advi...

  Job Swaps    11 January 2017

• US CLOs picking up

  Activity in the US CLO secondary market is beginning to pick-up for 2017. "Today looks like we're...

  SCIWire    10 January 2017

• Firm nabs credit vet

  Ares Management has hired Scott Graves as a partner in the firm's private equity g...

  Job Swaps    10 January 2017

• SCI Start the Week - 9 January

  A look at the major activity in structured finance over the past seven days.

  Pipeline The first week of the year brought a return to life for the pipeline. There were two new A...

  News    9 January 2017

• SCI Start the Week - 19 December

  A look at the major activity in structured finance over the past seven days.

  Pipeline While the pace of pipeline additions has slowed over the last couple of weeks, new deals d...

  News    19 December 2016

• SCI Start the Week - 12 December

  A look at the major activity in structured finance over the past seven days

  PipelinePipeline entrants were mixed last week. Three ABS, four CMBS and two RMBS were newly announc...

  News    12 December 2016

• CDO complaint settled

  Stifel Nicolaus and its former svp David Noack have admitted wrongdoing and paid over US$24.5m to re...

  Job Swaps    9 December 2016

• Zohar II policy bolstered

  MBIA Insurance Corp has accepted a binding commitment letter from certain holders of its 14% fixed-t...

  News Round-up    5 December 2016

• SCI Start the Week - 5 December

  A look at the major activity in structured finance over the past seven days.

  SCI content this week is sponsored by BNY Mellon. All content this week is being made available free...

  News    5 December 2016

• SCI Start the Week - 28 November

  A look at the major activity in structured finance over the past seven days.

  Pipeline With the week dominated by Thanksgiving, there were few pipeline additions. These amounted...

  News    28 November 2016

• Trups defaults decline

  The number of US bank Trups CDO combined defaults and deferrals declined to 14.6% at end-October, fr...

  News Round-up    22 November 2016

• SCI Start the Week - 21 November

  A look at the major activity in structured finance over the past seven days.

  Upcoming SCI eventSCI's latest Capital Relief Trades Seminar, 'Navigating the Cash vs Synthetic Deba...

  News    21 November 2016