BOCA RATON, FLA. - CDO equity investors are asking for larger chunks than ever before, Banc of America Securities Managing Director Dik Blewitt said during a panel discussion at this year's Information Management Network ABS East conference held here last week.

The more equity investors hold, the more they benefit from call options, he said. Call options, particularly in the high-yield corporate bond market, have increased as companies jump to refinance their debt before the window of low rates is shut (see ASR 08/22/05).

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