I'm very interested in your term "idiosyncratic risk" having worked the Street and particularly fond of synthetics / swaps / GICs / etc. as a platform.
My mental picture is a very unsteady hub and spoke like in Wipeout or something where the parties and counter parties are intertwined in ways that the dynamics are, as you put it, idiosyncratic.
My mental picture is a very unsteady hub and spoke like in Wipeout or something where the parties and counter parties are intertwined in ways that the dynamics are, as you put it, idiosyncratic.