Credit default swaps are back in vogue amid fears of a debt disaster I N 1912 FRANZ REICHELT, a tailor and inventor, ascended to the first level of the Eiffel Tower to offer a demonstration. He had designed a suit which could double as a parachute. After mixed results with mannequins, he decided it was time for a manned test—and fell to a grisly end.Today owners of credit-default swaps (CDS s), a form of insurance designed to pay out when borrowers go bust, likewise find themselves in mid-air with an untested parachute.
The crypto tycoon speaks with The Economist from prison in California Who will buy $120bn-worth of fresh Japanese government bonds? To enhance your experience and ensure our website runs smoothly, we use cookies and similar technologies. Registered in England and Wales.
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