Hi everyone, I'm having problems understanding how synthetic CDOs actually work. Need big helps from you guys :smiley:

Apr 17, 2019 · Hey everyone! I need your help with understanding the mechanics of synthetic CDO. What I mean…Let's say I have a pool of loans worth $1 bln.

I find this to be one of the more unintuive topics in the course. Can anyone epxplain what is really going on in a Synethic CDO and how it compares to Cash Flow ...

Oct 31, 2012 · Hi all, I have just covered the asset-backed securities reading and get some confusions on Synthetic CDO. Please give some help.

Synthetic CDOs are made up of assets which are reference entities or credit default swaps. Instead of receiving principal and interest they receive credit ...

Synthetic CDO's invest the proceeds from Junio section in high quality debt securities, and the exposure of senior section is used to sell CDS. but these notes ...

A synthetic CDO is a collateralized debt obligation that invests in credit default swaps or other non-cash assets to gain exposure to fixed income.

May 21, 2009 · "The key difference between a cash and synthetic CDO is: instead of selling the reference portfolio (loans), the originator (bank) purchases ...