American Dictionary
Define dictionary terms easily — search for "example", "dictionary", "language", or "word" in our powerful online English dictionary.
Define dictionary terms easily in our powerful online English dictionary.
Searching for...
No matching words found
Try a different search term or browse the dictionary
Credit Default Swap: an arrangement whereby someone purchasing debt in the form of bonds tries to eliminate the risk of loss from default by the issuer by insuring the buyer against potential losses
The seller of a CDS is typically a reinsurance company.
A CDS is basically an insurance policy.