This exists, but it would be better if it didn't. Variations of this kind of guarantee are a big part of what whacked the financial services market. It's black

This exists, but it would be better if it didn't. Variations of this kind of guarantee are a big part of what whacked the financial services market. It's black swan risk. Unlikely to happen, but big when it does. These maneuverings to "reduce risk" are not really reducing the risk fully. Some of what they are doing is aggregating normal risk into long tail risk. Instead of 10% chance of a 10% loss, they turn it into is a 1% chance of a 100% loss. This new 1 in 100 risk is a sort of dark matter that the financial system produces. No one knows where it is and it doesn't get fully priced into financial products. In the event of the risk materializing, who knows where it ends up. Every liability is ultimately limited by bankruptcy laws and/or the reality of not having the assets to cover an unlimited liability. Even when most sober financial institutions advertise limited risk investment, one eyebrow should go up.