(1) A measure of the RISK PREMIUM a creditrisky corporate or sovereign entity must pay to attract CAPITAL. The spread is generally quoted against a riskfree BENCHMARK, such as a GOVERNMENT BOND; the riskier the entity the wider the spread, and the worse the entity
An OVERTHECOUNTER OPTION that generates a payoff based on the difference between a CREDIT SPREAD (or price) and a predefined STRIKE PRICE. In standard form credit options generate a continuum of payoffs based on credit appreciation or depreciation; a credit option structured in binary form (as a DEFAULT OPTION) generates a payoff based solely on default by the reference credit. See also CREDIT DERIVATIVE.
The RISK of loss arising from a deterioration in an entity
An attachment to the MASTER AGREEMENT framework set forth by the INTERNATIONAL SWAPS AND DERIVATIVES ASSOCIATION that defines credit terms between two COUNTERPARTIES, including credit thresholds, COLLATERAL requirements, and credit termination events.
In international law. The instruments which authorize and establish a public minister in his character with the state or prince to whom they are addressed. If the state or prince receive the minister, he can be received only in the quality attributed to him in his credentials. They are, as it were, his letter of attorney, his mandate patent, mandatum manifcstum. Vattel, liv. 4, c. 6,
Worthiness of belief; that quality in a witness which renders his evidence worthy of belief. After the competence of a witness is allowed, the consideration of his credibility arises, and not before. 3 Bl. Comm. 309; 1 Burrows, 414, 417; Smith v. Jones, 08 Vt. 132, 34 Atl. 424. As to the distinction between competency and credibility, see COMPETENCY.
Worthy of belief; entitled to credit. See COMPETENCY.
One who is trustworthy and entitled to be believed; in law and legal proceedings, one who is entitled to have his oath or affidavit accepted as reliable, not only on account of his good reputation for veracity, but also on account of his intelligence, knowledge of the circumstances, and disinterested relation to the matter in question. Dunn v. State, 7 Tex. App. 605; Territory v. Leary. 8 N. II. ISO, 43 Pac. 088; Peck v. Chambers, 44 W. Va. 270, 28 S. E. 706.
One who, being competent to give evidence, is worthy of belief. Peck v. Chambers, 44 W. Va. 270, 28 S. E. 706; Savage v. Bulger (Kyj 77 S. W. 717: Amory v. Fellowes, 5 Mass. 228; Bacon v. Bacon, 17 Pick. (Mass.) 134; Robinson v. Savage, 124 111. 266, 15 N. E. 850.
The statement in a pleading or affidavit that one is “credibly informed and verily believes” such and such facts, means that, having no direct personal knowledge of the matter in question, he has derived his information in regard to it from authentic sources or from the statements of persons who are not only “credible,” in the sense of being trustworthy, but also informed as to the particular matter or conversant with it.