credit default swaps

A form of credit default swap — A credit derivative contract between two counterparties, whereby the buyer (seller of risk) makes periodic payments to the seller (buyer of risk) in exchange for the right to a payoff if there is a default or other credit event in respect of a third party called reference entity.

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Meanings

noun
  1. pluralplural of credit default swap
Cite this entry
APA

credit default swaps. (n.d.). In WatkinsX Dictionary. Retrieved November 5, 2026, from https://dictionary.watkinsx.com/word/credit%20default%20swaps

MLA

“credit default swaps.” WatkinsX Dictionary, https://dictionary.watkinsx.com/word/credit%20default%20swaps. Accessed November 5, 2026.

Chicago

WatkinsX Dictionary, s.v. “credit default swaps,” accessed November 5, 2026, https://dictionary.watkinsx.com/word/credit%20default%20swaps.

Source: credit default swaps on Wiktionary, CC BY-SA 4.0.