ADB: Evidence on Investor Compensation for the Credit Risk of Structured Products

About CCRA, ADB, CCRA, Credit Analysis, Credit Rating, Fixed Income, Regulation, Risk, Webinar
This presentation given on 6 July at ADBI analyzes the pricing of issuer credit risk in retail structured products. Since the default of Lehman Brothers, investors have been compensated for the counterparty risk they bear if products are not constructed to provide an implicit “credit enhancement,” i.e., if they do not feature a sufficiently high correlation between the promised payout and the issuer’s financial health.

Alexander Wagner is an associate professor of finance at the University of Zurich and a faculty member of the Swiss Finance Institute. View the video here

About AIWMI

The Association of International Wealth Management of India (AIWMI) is a not-for-profit organization and a globally recognized membership association for finance professionals. AIWMI primarily focuses on the broad and strategic role of developing a more robust and forward-looking training infrastructure for the financial services sector and to promote more active industry involvement and collaboration in training and continuing education. AIWMI is offering advanced international certification programs along with a wide variety of high-quality executive education programs. AIWMI programs combine state-of-the-art knowledge and skills with practical experience and insights into the functioning of the financial sector. All AIWMI courses and educational events have an intense and pragmatic curriculum. Participants are exposed to the latest developments within the financial services sector. AIWMI plays a key role in guiding the development of the financial services sector. AIWMI works with key industry participants’ viz. the Government, the Regulators, the Industries/Associations, the Corporate, the Media and the General Public to achieve its objectives. Besides enhancing technical competence and professionalism in the industry, AIWMI organizes events and facilitates discussions to promote best practices in leadership and talent development in the financial sector with an aim to become Asia’s premier center of excellence for financial education.

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