ISDA also confirms the Fitch rating cut. In his own way. Greece's use of collective action clauses (Cac) – coercive device that forces investors to bear the losses on the restructuring of the Greek debt – it is a "credit event" and triggers the payment of credit-default swaps (cds). This was decided by the International Swaps & Derivative Association (ISDA) which declared that the credit event will trigger payment on a maximum of 3,16 billion dollars of CDS contracts, approximately 4.323 units.
As reported by Bloomberg, the value that will be recovered will settle in an auction scheduled at the Isda headquarters in New York on April 19th.
Before the pronouncement i CDS on Greece were priced higher to a record $7,68 billion in advances and an annual premium of 100 dollars to secure 10 million dollars of Greek debt.
