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Basket-CDS-Pricing

This is my work for CQF June 2021 Final Project, including main pricing procedures of a basket CDS consisting of 5 reference names with a maturity of 5 years and basic sensitivity analysis. All reletaive data and code are uploaded. The Monte Carlo simulation and sensitivity analysis need further improvement.

Key words

  • Hazard Rate Bootstraping
  • Default time calculation
  • Linear correlation and copulas (by Matlab)
  • Maximum likelihood for t-copula's degree of freedom (by Matlab)
  • Monte Carlo

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