The Study About The Legal Problems Of The International Credit Derivatives

As far as the structure is concerned, this dissertation is divided into five Chapters, excluding Preface and Conclusion. In Chapter 1, the outlines of the credit derivatives are discussed. In Chapter 2, focused on the legal concerns of the credit derivatives transactions, ISDA Master Agreement which is widely used by traders is introduced and discussed. The definitions of the credit events which are trouble and incurring many disputes are discussed in Chapter 3. In Chapter 4 the supervision system and supervision fashion about the credit derivatives are discussed. In China why and how to introduce credit derivatives is diacussed in Chapter 5.Chapter 1 focuses on the basic introductions about the background, definition, category, characters, economic function, and the specialized aleatory of the credit derivatives. And credit derivatives are compared with the other alternative financial products. With the going deep into the essence of the credit derivatives aleatory and the aleatory contract are discussed. Then for opening out the larruping character of the credit derivatives other risk management instruments are introdued and compared.Chapter 2 is crammed with the introduction and discussion about the credit derivatives transactions' foundations. ISDA Master Agreement, Schedule and other documents as the widely used by traders are introduced. On this premise a simple comparison is made between the ISDA1992 Master Agreement and ISDA2002 Master Agreement. Some most important distinctions and changes are analysed. Then the effectiveness of the ISDA 2002Master Agreement's protocol is discussed.Chapter 3 mainly discusses the credit events which are the characters of the credit derivatives tranactions. Although ISDA has tried to make the definitions of credit events nicety, there are so many disputes aroused from the definitions of credit events. So this Chapter discusses those problems with some cases.Chapter 4 discusses the need about the credit derivatives' supervision and the international and inner supervision system. On this basis the challenge of traditional supervision system made by credit derivatives is discussed.In Chapter 5 after reviewing the history of the China finanacial derivatives products, on the analyse of the credit risk situations of the China financial institutes, the necessity and feasibility about introducing the credit derivatives are discussed. And some advices are given about the China's credit derivatives supervision and development.