Word of the day: Credit Default Swap

Today's word of the day is Credit Default Swap or CDS. What a credit default swap really is is an insurance contract. What does it insure? Well it depends. During the crisis of 2008, we heard a lot about these default swaps in reference to AIG and the mortgage market (along with CDO's). Now, CDS are being used to insure bondholders against the default of countries in Europe, like Greece and Italy. Lauren breaks it down for our audience.

Watch the full episode of "Capital Account with Lauren Lyster" at
http://www.youtube.com/capitalaccount

Category:

News & Politics

Tags:

• Capital Account
• Lauren Lyster
• Demetri Kofinas
• Word of the day
• Word
• Credit Default Swap
• CDS
• insurance
• credit protection
• sovereign debt
• CDO
• AIG
• Silvio Berlusconi
• Helle Thorning-Schmidt
• Bernie Madoff
• Insects
• global hunger
• funny
• markets
• finance
• economy

[ianonline]

Clearly others viewing can't see beyond her looks. That really is sad. Just imagine how much valuable information they lose (lose, not loose), which could get them a model girlfriend, all because they stare at a girls legs with total disregard for her or their intelligence.

That behaviour makes a person into little more than an animal, no doubt these people will come back with such prodigious wit and flair in reply to this!

[extremej7]

Sexual Tension!!

[yuhsin24]

Please bear with me, since I'm an economics noob... so, basically a CDS is a like a hedge bet?

[moistfaucet]

Every time i turn into RT, my hormone do the talking, god damn it.

[bahrom69]

Too much legs and boobs, what swap?

[TheRightThinker]

Now morons on youtube will learn a new word and start commenting everywhere instead of "end the fed", "end credit default swaps" without knowing what the hell it is

[1594615]

I want to swap something with her.

[Tressco]

Financial Terrorist Idioms 101 – Please continue to explain financial terms & weapons of mass destruction while I post their effects on formerly functioning societies.

Appreciated!

[hotsaucze1]

It's totally distracting the audience...what was the word of the day?

[rollingcube]

Seems to me that a Credit Default swap is exactly what it says it is: Swaping yourself a Default for a Credit, a volia!

[JimbobOMG]

Blame the creators of currencies and government/bank relationships...not CDS geez. That's like spanking your 2 y/o child for playing in the sugar. Put the fucking sugar away douchebag!

[WythenshawePhil]

@ianonline Wit and flair might be expecting too much. People can get different things out of it, if they just wanna watch it and learn about finance then fine. If they just wanna appreciate Lauren's looks then in my view they've got a more valid reason for watching and I hope they leave a lusty comment for me to thumb up and reply to.