LeoGlossary: Collateralized Debt Obligation (CDO)

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9 months ago - 1 minutes read

A financial product that is backed by a pool of loans or other assets, which are split up and packaged. CDOs are then sold to institutional investors. This is known as an asset backed security (ABS). It is also a derivative since the value of the asset is received from the value of the underlying loans or assets.


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