Credit support: Difference between revisions

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imported>Doug Williamson
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Revision as of 10:57, 4 April 2021

1. Credit risk - derivative instruments.

In the context of derivative financial instruments, credit support is reducing counterparty credit risk.

Usually by requiring collateral - also known as margin - to be posted by the counterparties.


2. Credit risk management.

Any form of credit risk reduction.

Also known as credit enhancement.


See also