{"iri":"https://spec.edmcouncil.org/fibo/ontology/SEC/Debt/SyntheticCDOs/ArbitrageSyntheticCDO","label":"arbitrage synthetic c d o","definition":"Arbitrage synthetic CDO deals are motivated by regulatory or practical considerations that might make a bank want to retain ownership of debt while achieving capital relief through CDSs. In this case, the sponsoring bank has a portfolio of obligations, called the reference portfolio. It retains that portfolio, but offloads its credit risk by transacting CDSs with the CDO.","license":"https://spdx.org/licenses/MIT","source":"fibo","source_url":"https://spec.edmcouncil.org/fibo/"}