Before revision: The widely accepted view on derivatives pricing post-crisis states that - the price of a fully collateralized derivative transaction is obtained by discounting all associated cash flows with the cost of the collateral, while for a non-collateralized derivative transaction the discounting rate should be the cost of unsecured funding of the "issuing" counterparty. The paper examines origins of this view by following three papers , that have received wide acceptance from practitioners as providing the theoretical foundations for it - [Piterbarg 2010], [Burgard and Kjaer 2010] and [Burgard and Kjaer 2013].
After revision: The widely accepted view on derivatives pricing post-crisis by following three papers , that have received wide acceptance from practitioners as providing the theoretical foundations for it - [Piterbarg 2010], [Burgard and Kjaer 2010] and [Burgard and Kjaer 2013].