Poll: how to revive European securitisation

Author: IFLR Correspondent | Published: 20 Jul 2015
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Securitisation continues to suffer from a reputational crisis. Despite being a vital tool for freeing up banks’ balance sheets and accessing liquidity, European volumes remain at 35% of their pre-2007 levels, with around $28 billion having been issued so far this year.

The situation is exacerbated by banks’ reluctance to extend credit in an increasingly fierce regulatory environment. It is clear that to fuel growth on the continent, action is required to kick-start participation.

Against this backdrop, IFLR’s quick poll this month asks what is needed to revive the European securitisation market. Options include:

  • Reduce capital charges for buyside under Solvency II
  • Establish universal best practices among issuers
  • Cut risk weight floors by 25%, as proposed by the EB
  • Change public perception of the asset class
Cast your vote on the Quick Poll menu on the right-hand side of the homepage. All votes and comments are anonymous. The results will be published in the September edition of IFLR magazine.

Results of previous Quick Polls

Growing green bonds
TLAC’s biggest implementation challenge
Europe’s best holdco regime