RMBS next to get the guarantee treatment as UK ponders new rescue

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RMBS next to get the guarantee treatment as UK ponders new rescue

The UK government this week revealed that it plans to guarantee mortgage backed securities issued by banks, building societies and specialist lenders in a move hailed by market participants as the first step in resuscitating the moribund securitisation market. Success of the plan though will depend on the details, yet to be finalised by the government.

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