Credit Default Swaps
With the 2008 emergence of widespread concerns about credit default swaps, the CFMA’s treatment of those instruments has become controversial. Title I of the CFMA broadly excludes from the CEA financial derivatives, including specifically any index or measure tied to a “credit risk or measure.” In 2000, Title I’s exclusion of financial derivatives from the CEA was not controversial in Congress. Instead, it was widely hailed for bringing “legal certainty” to this “important market” permitting “the United States to retain its leadership in the financial markets”, as recommended by the PWG Report.
Read more about this topic: Commodity Futures Modernization Act Of 2000
Famous quotes containing the words credit, default and/or swaps:
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—Franz Grillparzer (1791–1872)
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—Albert Camus (1913–1960)
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—Mark Twain [Samuel Langhorne Clemens] (1835–1910)