Credit derivatives have revolutionized the way banks and brokerage firms do business. This book explains the various instruments in the market, the economic value of these instruments and how to value and document these trades. Coverage includes: an overview of the topic; description of the instruments and applications such as credit swaps and options; shorting credits; pricing methods; new structured credit derivatives; the future of the global credit markets; CreditMetrics; tax arbitrage; and emerging market risk.