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Amwelladmin (talk | contribs) (Created page with "Collateral, as a abstract concept, is securities and cash a counterparty puts up as credit risk mitigation. a collateral contract — arguably an even more abstrac...") |
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[[Collateral]], as a abstract concept, is securities and cash a counterparty puts up as [[credit risk mitigation]]. | [[Collateral]], as a abstract concept, is securities and cash a counterparty puts up as [[credit risk mitigation]]. <br /> | ||
A [[collateral contract]] — an even more abstract concept — is a binding agreement which supports or gives a person a right to enter into another {{tag|contract}}. (Certain forms of [[option]] — swaptions for example — are [[collateral contract]]s. | |||