Counterparty risk: Difference between revisions
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imported>Doug Williamson (Removed broken link to Will Spinney article) |
imported>Doug Williamson (Add narrower first definition.) |
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1. ''Derivatives contracts.'' | |||
When a contract is in the money, the risk that the other party to the contract fails for any reason, for example bankruptcy. | |||
2. | |||
More generally, the risk to each party to a contract that the counterparty will not meet its contractual obligations, whether they are unable, or simply unwilling, to do so. | |||
== See also == | == See also == | ||
*[[Cash in the new post-crisis world]] | |||
*[[CCR]] | *[[CCR]] | ||
*[[CRD IV]] | *[[CRD IV]] | ||
*[[Credit risk]] | *[[Credit risk]] | ||
*[[Guide to risk management]] | *[[Guide to risk management]] | ||
*[[ | *[[In the money]] | ||
*[[Putting a limit on losses]] | *[[Putting a limit on losses]] | ||
*[[Risk]] | |||
Revision as of 10:36, 26 January 2020
1. Derivatives contracts.
When a contract is in the money, the risk that the other party to the contract fails for any reason, for example bankruptcy.
2.
More generally, the risk to each party to a contract that the counterparty will not meet its contractual obligations, whether they are unable, or simply unwilling, to do so.
See also
- Cash in the new post-crisis world
- CCR
- CRD IV
- Credit risk
- Guide to risk management
- In the money
- Putting a limit on losses
- Risk