Analysis, Markets

Waning appetite for junk loans drives surge in bank securitisation 

By Nicholas Dunbar
Junk loans
Image: Getty Images

Dwindling appetite for corporate junk loans is spurring the world’s largest banks to securitise them at speed, to avoid a surge in capital requirements from next year. 

This sleight-of-hand has boosted securitisation exposures to a record $1.2tn at the end of 2023 for the largest 11 global systemically ...

To continue reading
Request Free Trial

  • Unlimited access to all content.
  • Email alerts highlighting key industry insight.
  • Invitations to attend exclusive roundtables and events.

Read Next:

Culture & Conduct, Opinion, Regulation & Supervision
August 7, 2023

Credit Suisse ‘headline’ fine glosses over underlying equity financing risk

At first glance, the $387m of fines imposed on Credit Suisse ought to draw a line under the Archegos scandal for regulators. But providing equity financing to hedge fund and...
Read more