Activity Log | 9.1.2021 | Wed. | 1 hrs

  • Studied | UK Spreadbetting, John Paulson, Paul Tudor Jones, Credit Default Swaps

Studied some more trading videos. Began beginning to learn about fed & significance of 10 year rates. Began studying John Paulson. Began to understand what a credit default swap is, for the first time realizing the definition is perfectly in the name: If there is a default on the credit issued, it is swapped. To my understanding at this juncture, it’s essentially a put on a mortgage. & those owning the mortgages were selling the puts to buyers, not believing that, in any significant way, the value of the underlying asset (the mortgage, the loan) would lose significant enough value to be inflict any significant damage. It’s essentially a put on credit assets, and in the case of the 08 crisis the main credit assets in question were mortgage-backed securities. Still don’t understand what the equivalent of exercising a put would be for the CDO.

Links Studied:
Youtube | UK Spreadbetting | WHY IS DAY TRADING SO CHALLENGING!? ??
Youtube | UK Spreadbetting | How Long Did it Take to Make a Stable Income from Trading?
Youtube | UK Spreadbetting | Trading Like a Pro 1: Habits and Patterns Of Losing Traders ??
Youtube | David Rubenstein | How John Paulson Became a Billionaire With One Trade
Youtube | David Rubenstein | Don’t Look for a Get Rich Quick Scheme, Paulson Says
Youtube | MSNBC | Druckenmiller Warns Of ‘Dire Consequences’ Of More Government Spending
Youtube | Goldman Sachs | Paul Tudor Jones: Investing in a More “JUST” World
Youtube | The Duomo Initiative | “PATIENCE” – TRADER MOTIVATION (Trading Motivational Video) #MondayMotivation

Wikipedia | Credit Default Swap
Wikipedia | Swap (finance)
Investopedia | Wholesale Banking
Investopedia | Best Bank ETFs for Q4 2021
Investopedia | The Best (and Only) Auto ETF for Q4 2021
Investopedia | Analyzing Retail Stocks
Investopedia | Cyclical vs. Non-Cyclical Stocks: What’s the Difference?
ETF Database | Retail ETF List