The Regulation Logic And System Construction Of Credit Default Swaps

Credit default swaps referred to as CDS,is a representative of credit risk mitigation tools,the meaning of the parties to the transaction of credit risk transfer for the purpose of signing the autonomy of the contract,the buyer pay a percentage fee to the seller according to the risk and the price of underlying assets,in exchange for reference when the entity credit default compensation.The representative credit derivatives of CDS have provided new tools for the diversification of the main body to transfer credit risk and hedge financial risks.In this paper CDS the legal nature of the academic definition as a starting point,then to assess CDS risks discussed the necessity of using economic means of regulation,based on exploring the legal system of market regulation dilemma of our existing OTC credit derivatives on the comparison of the United States CDS supervision experience and system,so as to outline the regulatory logic to risk control as the main line in the ideal level and at the level of actual construction suitable for China's national conditions and has certain forward-looking CDS supervision legal system framework and the countermeasures.In addition to the introduction and conclusion,the thesis including four parts:The first part,the basic connotation and academic definition of credit default swap.First,it clarifying the definition of CDS and deconstructing the main elements,the object elements and the content elements of the CDS trading mechanism to explain how to achieve the sustained release efficiency of the credit risk.Secondly,in response to the current controversy about the legal nature of CDS,from the similarities and differences between CDS and insurance endogenous mechanism,it should not be defined as insurance in theory,and from another aspect,it explains the essentials of CDS attributable to securities.The second part,the risk of credit default swap and the necessity of supervision.This part of the analysis of four kinds of risk inherent in CDS based on the present credit derivatives itself and even the entire financial market devastation,gradually the necessity of constructing CDS supervision system,macro regulation is correct CDS negative externalities--through economic law liquidity risk and systematic risk;and micro the level of supervision is an inevitable requirement to control CDS moral risk and economic risk function.The third part is the domestic and American regulatory system of the credit default swap.Combing the current regulatory system of credit derivatives including CDS,and reflecting the domestic regulatory dilemma from two aspects of system and function supply insufficiency,and then summarizes the CDS regulatory system and general goals of the US after the financial crisis time node.The fourth part,the supervision logic and path choice of the credit default swap.The market body of CDS is placed in the risk of breach of contract,moral hazard and systemic risk.First,the regulatory logic of CDS,which is the main line of risk control,is proposed.That is to say,the logical starting point is strengthening function supervision,bringing CDS into the comprehensive financial supervision system,and reducing the risk exposure by central clearing mechanism is an effective tool for CDS risk control,supplemented by information disclosure tools to supplement the effectiveness of risk control.Secondly,according to the nature of financial risk control and CDS regulatory logic,legal regulatory framework and market operation framework,choosing the real and effective regulatory path.