Credit default swap

{
  "id": "MLC-T-LAW-001390",
  "term": "Credit default swap",
  "field": "Law",
  "definition": "A financial derivative contract that allows an investor to swap or offset their credit risk with that of another investor. The buyer makes regular payments to the seller and, in return, receives a payout if a specified credit event, such as a default, occurs. These instruments are traded over-the-counter and are not typically regulated as traditional insurance.",
  "url": "https://mlchart.com/terminology/law/credit-default-swap/"
}