tag:blogger.com,1999:blog-5713178645208582139.post4506630596076456864..comments2024-03-22T02:37:15.030-05:00Comments on Macro Musings Blog: Why Are Bank Creditors Being Protected?David Beckworthhttp://www.blogger.com/profile/04577612979801459194noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-5713178645208582139.post-22122697514200853332009-03-30T16:02:00.000-05:002009-03-30T16:02:00.000-05:00Have we considered what the ramifications would be...Have we considered what the ramifications would be on the CDS market if the banks bonds were restructured. A bankruptcy or any event of default triggers the CDS to payout. The notional value of CDS in marketplace is many times the value of the underlying bonds. If bank bonds are the most widely held corporate bonds than I am taking the assumption that many times more CDS were written over top Anonymousnoreply@blogger.com