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I don't know why I torture myself with this stuff. I must be a masochist. I find swaps and derivatives difficult to wrap my head around, but I want to understand them. Lavish will explain, in plain English, the new ISDA policy. As he puts it, it is a BFD. If people are interested I'll link his second article next week.
James is great. Swaps and derivatives are purposefully opaque. No one even knows how much leverage has been piled on leverage. But don't worry, I am sure all the big brain Wall street PHDs that could actually be doing something useful for humanity have it all hedged out right? right?
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