The Future of Securitisation: How to Align Incentives?
Bank for International Settlements (BIS)
National Bank of Belgium - Department of Financial Stability; Centre for Economic Policy Research (CEPR)
BIS Quarterly Review, September 2009
This article reviews the recent collapse of global securitisation markets and the loss of investor confidence in them. It then sets out measures that could be taken to revive and strengthen the securitisation process, including mechanisms based on retention requirements for originators. It ends with a number of simple implications for policymakers and market practitioners.
Number of Pages in PDF File: 17
JEL Classification: G100, G200
Date posted: July 31, 2012