Asset-backed securities
Israeli officials look to remove obstacles to securitisation
Joint team of financial regulators renew efforts to promote securitisation; former deputy governor Zvi Eckstein backs proposed legislative changes
ECB hiring consultant to help design ABS programme
Mario Draghi says the preparations towards buying asset-backed securities are being made ‘with the expectation we will take action in this field’
‘All pieces are in place' for co-ordinated regulation of European ABS, says Mersch
The various agencies in charge of regulating ABS in the EU should be able to co-ordinate their regulation of the asset class, Yves Mersch says
Post-crisis central bank policies are crowding out ABS, ECB and BoE say
Securitisations could be judged according to a set of commonly agreed principles to make due diligence easier; schemes introduced to boost lending have made ABSs comparatively expensive
Policy-makers wary of ‘hurdles’ to ABS revitalisation
Central bankers and academics agree SMEs need greater access to credit, but dispute whether or not reviving the ABS market in Europe is the right course of action
Bank of England and ECB in joint call to put ABS back in play
European Central Bank and Bank of England promise more thorough treatment of how to reverse asset-backed securities market decline - which could allow ECB to undertake QE
Yves Mersch urges ABS regulation rethink
European Central Bank executive board member calls for global framework that distinguishes between securitisation instruments of different qualities
ABS innovations aim to clear credit rating log-jam
Innovative way of calculating capital requirements for securitisation portfolios could take rating agencies out of the game - and put the European economy on the path to recovery
Mersch says ABS could help eurozone back to health
Addressing the Ifo Institute in Munich, ECB executive board member Yves Mersch said asset-backed securities have a bad reputation but a role to play in the European economic recovery
ECB calls for action as ABS market reaches ‘crossroads’
European Central Bank’s monthly bulletin calls on other institutions to help kick-start the market; suggests ABS transactions could be guaranteed in an attempt to boost SME lending
ECB pushes banks on ABS reporting
European Central Bank raises the reporting bar for banks looking to use securities backed by SME loans as collateral; sets October deadline for more detailed disclosure
International banks pose risk to global financial system, NY Fed paper finds
Evidence from 2007 suggests banks can more easily deal with a credit crunch in their home jurisdiction than they can overseas, which could be a weak point in the global system, paper finds
ECB collateral move aims to cut ‘wrong-way risk' while boosting SME lending
Observers think incentivising of SME loan ABS could be precursor for an SME-targeted long-term refinancing operation
IMF's Lagarde supports negative rates in eurozone
IMF Article IV for the eurozone backs Draghi promise to keep rates low and says negative rates would support demand and ward off deflation; ECB chief concerned that financial transactions tax will hurt monetary policy efficacy
Banks push alternative to Basel Committee securitisation model
Basel proposals would kill European market, banks warn – and some regulators sympathise
ECB’s Praet targets stronger ABS demand
Executive board member Peter Praet says the recovery of the market for asset-backed securities is essential for the provision of credit
RBA seeks more transparency in securitisation market
Reserve Bank of Australia assistant governor says new information requirements in the securitisation market will enable financial institutions and investors to better assess risk
Riksbank tightens collateral requirements
Swedish central bank moves against trend in Europe by tightening collateral conditions for loans; will offer banks a transitional period to adjust
ECB relaxes collateral eligibility rules
Broader range of lower quality assets now acceptable under ECB collateral rules; move should help Spanish banks after results of stress test reveal a potential €62 billion capital shortfall
BIS working paper studies collateral requirements
Research estimates collateral requirements for mandatory central clearing of over-the-counter derivatives; finds major dealers already have ample assets to meet initial margin requirements
European Commission to propose regulation on CSDs
European Commission announces new rules targeting central securities depositories to be released in March; wants to ensure securities transactions are settled in a “safe and timely manner”
European ABS purchases pushed yield curve lower: Fed paper
Federal Reserve study says European acquisitions of asset-backed securities contributed to decline in US bond yields pre-crisis
Philly Fed paper on ratings agency failures in subprime market
Philadelphia Federal Reserve study says ratings agencies' AAA-rating of mortgage-backed securities helped spur the subprime mortgage crisis
ABS markets influential on composition of international debt markets: ECB report
European Central Bank study on asset-backed securities markets provides valuable insight into the currency composition of international debt markets