Focus on the pronunciation of credit default swap
English definition of “credit default swap”
credit default swap
noun [C] (also credit swap)
› FINANCE a type of credit derivative in which the buyer pays the seller for the right to get money back if a particular loan, bond, etc. is not paid back: The cornerstone of the credit derivatives market is the credit default swap, a sort of insurance policy that allows two parties to exchange the credit risk of an issuer.