An Infinite Factor Model for Credit Risk

نویسنده

  • Thorsten Schmidt
چکیده

The demand for risky investments in areas different from the stock markets has increased enormously due to their recent struggles. On possibility to achieve this, is to take credit risk in exchange for an attractive yield and as a result methodologies for pricing and hedging credit derivatives as well as for risk management of credit risky assets became very important. The efforts of the Basel Committee is just one of many examples to substantiate this. For an introduction into this area consider the surveys by Giesecke (2004) and Schmidt and Stute (2004) or one of the excellent textbooks Schönbucher (2003), Duffie and Singleton (2003), Lando (2004) or McNeil, Frey, and Embrechts (2005).

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تاریخ انتشار 2005