# Asset-backed securities-collateralized debt obligation, ABS-CDO (also said in German and usually in the abbreviation)

- Canonical URL: https://www.gerhardmerk.de/asset-backed-securities-collateralized-debt-obligation-abs-cdo-also-said-in-german-and-usually-in-the-abbreviation
- Post ID: 590731
- Modified: 2023-07-25T20:58:47+00:00
- Language: en

## Definition

Asset-backed securities that themselves invest in parts of other asset-backed bonds. Such nested securitized securities have been repeatedly rebuked by regulators for the sheer distance between the investor and the underlying risks. Because of the difficulties in managing the risk of such securities, and also in view of the fact that rating agencies gave ABS CDOs very poor marks at least since the subprime crisis (even when they came with a re-transfer clause), sales fell sharply from around mid-2007. - See Absence capitalism, credit default swap squared, financial alchemy, toxic paper, information, asymmetric, lottery, double, certificate cutter. Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec. Professor Dr. Eckehard Krah, Dipl.rer.pol. E-mail address: info@ekrah.com https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk https://www.jung-stilling-gesellschaft.de/merk/ https://www.gerhardmerk.de/

## Machine-readable

- Generator: Merk Knowledge 1.1.1