Term
CDO
Collateralized debt obligation: a security built from many loans, such as mortgages. What it pays depends on whether the borrowers keep paying.
The Signal and the Noise: Why So Many Predictions Fail, but Some Don't, Nate Silver
Explained in
- The Signal and the Noise: Why So Many Predictions Fail, but Some Don't, Nate Silver
- The Big Short: Inside the Doomsday Machine, Michael Lewis
A collateralized debt obligation: a bond assembled from other bonds, often from the bottom tranches of mortgage bonds.