SBI, Standard Chartered do a CDS trade under new RBI norms
"This landmark transaction marks a pivotal moment in credit risk management and underscores the growing sophistication of financial instruments in the Indian market," said Parul Mittal Sinha, Head - Financial Markets, India, Standard Chartered Bank.
Mumbai: Marking the first such transaction after the Reserve Bank of India () issued fresh guidelines for the instrument, and India Wednesday carried out a (CDS) trade worth ₹25 crore. The trade involved a 1-year rupee CDS featuring REC, senior executives at Standard Chartered Bank told ET."This landmark transaction marks a pivotal moment in credit risk management and underscores the growing sophistication of in the Indian market," said Parul Mittal Sinha, Head - Financial Markets, India, Standard Chartered Bank.
Credit default swaps are derivative instruments that provide a form of against the risk of default of the issuer of a bond.
Source: Stocks-Markets-Economic Times
