Credit support: Difference between revisions
From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson (Create page. Sources: linked pages.) |
imported>Doug Williamson m (Amend links.) |
||
(3 intermediate revisions by the same user not shown) | |||
Line 1: | Line 1: | ||
1. ''Credit risk - derivative instruments''. | 1. ''Credit risk - derivative instruments''. | ||
In the context of derivative financial instruments, credit support | In the context of derivative financial instruments, credit support reduces counterparty credit risk. | ||
Usually by requiring collateral - also known as margin - to be posted by the counterparties. | Usually by requiring collateral - also known as margin - to be posted by the counterparties. | ||
Line 8: | Line 8: | ||
2. ''Credit risk management''. | 2. ''Credit risk management''. | ||
Any form of credit risk reduction. | Any form of credit risk reduction, for example in the context of bonds and guarantees supporting trade finance. | ||
Also known as ''credit enhancement''. | Also known as ''credit enhancement''. | ||
Line 14: | Line 14: | ||
== See also == | == See also == | ||
* [[Bond]] | |||
* [[Collateral]] | * [[Collateral]] | ||
* [[Credit]] | * [[Credit]] | ||
* [[Credit enhancement]] | |||
* [[Credit risk]] | * [[Credit risk]] | ||
* [[Credit support annex]] | * [[Credit support annex]] | ||
Line 21: | Line 23: | ||
* [[Derivatives documentation]] | * [[Derivatives documentation]] | ||
* [[Encumbrance]] | * [[Encumbrance]] | ||
* [[Guarantee]] | |||
* [[ISDA Master Agreement]] | * [[ISDA Master Agreement]] | ||
* [[Margin]] | * [[Margin]] | ||
* [[Security]] | * [[Security]] | ||
* [[ | * [[Trade finance]] | ||
[[Category:Accounting,_tax_and_regulation]] | [[Category:Accounting,_tax_and_regulation]] |
Latest revision as of 12:54, 8 April 2021
1. Credit risk - derivative instruments.
In the context of derivative financial instruments, credit support reduces 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, for example in the context of bonds and guarantees supporting trade finance.
Also known as credit enhancement.