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When an institution has sold exposure to another institution (i.e., purchased protection) in a CDS, it has exchanged the risk of default on the underlying asset for which of the following?
A
Default risk of the counterparty
B
Default risk of a credit exposure identified by the counterparty
C
Joint risk of default by the counterparty and of the credit exposure identified by the counterparty
D
Joint risk of default by the counterparty and the underlying asset
