NO.PZ2020033003000043
问题如下：
Litchi Bank and a large group company have signed many derivatives agreements. At present, the transaction settlement department of Litchi Bank calculates the mark to market value of the total position as $ -10 million. If this large group company defaults, which of the following clauses is most beneficial to Litchi Bank?
选项：
A.Cross product netting.B.
Collateralization.
C.Tear up. D.Close-out.
解释：
C is correct.
考点：Managing and Mitigating Counterparty Risk
解析：因为现在盯市价格是负的，所以银行其实是亏钱的，如果此时这家大型集团公司违约，那么银行可以通过tear up也就是walk away条款避免这部分盯市损失。
能否麻烦解释一下剩下几个选项都在什么情况下适用呢？
