Collateralized Debt Obligation (CDO)
An investment-grade security backed by a pool of bonds, loans and other assets. CDOs do not specialize in one type of debt but are often non-mortgage loans or bonds.

Investopedia Says:
Similar in structure to a collateralized mortgage obligation (CMO) or collateralized bond obligation (CBO), CDOs are unique in that they represent different types of debt and credit risk. In the case of CDOs, these different types of debt are often referred to as 'tranches' or 'slices'. Each slice has a different maturity and risk associated with it. The higher the risk, the more the CDO pays.

Related Terms:
Asset-Backed Commercial Paper
Collateralized Bond Obligation - CBO
Collateralized Mortgage Obligation - CMO
Junk Bond
Loan Participation Note - LPN
Monoline Insurance Company
Structured Finance
Synthetic Collateralized Debt Obligation
Tranches
Weighted Average Rating Factor - WARF

• Public Offering
• Public Offering Price (POP)
• Public Offering Price (POP)
• Public Sector Net Borrowing
• Public Securities Association Standard Prepayment Model (PSA)
• Public Securities Association Standard Prepayment Model (PSA)
• Public Unit Account
• Puke
• Pullback
• Pump And Dump
• Punter
• Purchase Acquisition
• Purchase and Resale Agreements (PRAs)
• Purchase and Resale Agreements (PRAs)
• Purchase And Sale Statement (P&S)
• Purchase And Sale Statement (P&S)
• Purchase Fund
• Purchase-Money Mortgage
• Purchase Mortgage Market
• Purchase Price
• Purchasing Managers' Index (PMI)
• Purchasing Managers' Index (PMI)
• Purchasing Power
• Purchasing Power Parity (PPP)
• Purchasing Power Parity (PPP)