er...kindly refer to details in CFA level 2 text books ...they are all there, isn't it ?：）
CDO & CLO itself doesnot give leverage, if I remember correctly?
I remember CDO is about multiple tranches of the pool of debt obligations being rated differently from high to low and the re-payment of interests/principle use waterfall method.
How does the leverage step in?
How does the leverage step in?
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