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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: patron_anejo_por_favor who wrote (101562)2/22/2009 6:42:37 PM
From: bart13  Read Replies (3) | Respond to of 110194
 
I think the percentage sold naked is pretty small, 10% at best and probably a lot less.

I also believe that the primary problem with CDSs is counter party risk, in the sense that the folk on the losing side of the trades are insolvent or illiquid and can't or won't pay off.