10.3 Structured Products and Synthetic Instruments

In this section

• Collateralized Mortgage Obligations (CMOs)
  Explore the intricacies of Collateralized Mortgage Obligations (CMOs), their structure, tranches, and role in distributing prepayment risks in the mortgage-backed securities market.
• Collateralized Debt Obligations (CDOs)
  Explore the complexities of Collateralized Debt Obligations (CDOs), their structure, role in financial markets, and impact during the financial crisis.
• Understanding Synthetic CDOs: A Comprehensive Guide
  Explore the intricacies of Synthetic CDOs, their creation, risks, and impact on financial markets. This guide provides a detailed analysis of Synthetic CDOs, their role in credit risk transfer, and the controversies surrounding them.