Regulators must act on ABS before it is too late
When Mario Draghi said — for the second time— that the ECB would consider buying ABS to boost Europe’s economic prospects, everyone took note. Everyone, it seems, except Europe’s regulators, who have shown a reluctance to change their anti-securitization tack. It is time for them to swallow some pride and roll back the harshest securitization regulation — before it is too late.
Speaking at the World Economic Forum, Draghi ruled out any sort of conventional quantitative easing through government bond or corporate debt purchases, but said the ECB would consider buying bank loans bundled in a “proper way”; in other words, asset-backed securities.Unfortunately, even if the ECB wanted ...
Please take a trial or subscribe to access this content.
Contact our subscriptions team to discuss your access: firstname.lastname@example.org