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CDs page 6VOL. XXI, NO. 64TUESDAY, DECEM BER 9, 1986the independent student newspaper serving Notre Dame and Saint Mary\'sHoward Hall to house women next fall By M A RY H E IL M A N N Assistant News
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CDS stands for Credit Default Swap, which is a financial derivative that allows an investor to 'swap' or offset their credit risk with that of another investor.
Entities that engage in transactions involving credit default swaps are required to file CDS documentation, including financial institutions and certain large hedge funds.
To fill out a CDS filing, the entity must provide details about the underlying credit asset, transaction specifics, and counterparty information, as dictated by regulatory or market guidelines.
The purpose of a CDS is to provide protection against credit risk, allowing investors to hedge against potential default on their investments.
Information that must be reported includes the notional amount, the reference entity, maturity date, specific terms of the contract, and any relevant transaction or pricing details.
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