hog n.— «There are, however, a number of investors—for example, central banks and pension funds—that rely only on the rating agencies for their information. Thus they fail to act when the markets start moving, and are forced to act when...
cliff risk n.— «In the credit derivatives market, certain instruments are exposed to what is known as “cliff risk.” This ominous sounding phrase describes a situation where the last in a series of adverse developments obliterates the...