Question: Question 6. a) Explain credit risks and corporate default risks? Why it matters for the portfolio managers to minimize them? [12.5 Marks] b) How does

Question 6.

a) Explain credit risks and corporate default risks? Why it matters for the portfolio managers to minimize them? [12.5 Marks]

b) How does a credit default swap enable risk management? [12.5 Marks]

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