Just let the CDS market die

Just let the CDS business die, says John Dizard, writing in the FT

CDS's have been proven useless for supporting capital raising, discovering prices and as a risk-management tool, Dizard says.

"Risk management with CDS was largely about what the bankers called 'reg cap arb' (regulatory capital arbitrage), or making big spreads and bonuses by scamming the regulators whose employers, the taxpayers, now have the bill."