Invisible Hedge Funds (Banks' Trading Desks)
GARP Risk Review July/August 2004 Issue 19
by Janet Tavakoli

Summary:

Single Tranche Collateralized Debt Obligations (STCDOs) are the fastest growing sector of the collateralized debt obligation (CDO) market and pose unique risks to investors and the arranging banks. This groundbreaking article clarifies the economics, hedging, ratings viability, and risks of these new products.

Click here for entire article as a pdf file.