16 Nov 2009, Rob Davies, Credit
The European securitisation markets were among the hardest hit by the financial crisis: large losses on a range of securitised products led to a drop-off in investor demand, while prohibitive spreads made it an uneconomical funding tool for issuers. But the completion of three deals since September suggests investor appetite might be there for well-structured transactions.
Credit discusses whether the recent deals represent a watershed moment for the market with Rick Watson, managing director of the Association of Financial Markets Europe – European Securitisation Forum, an industry association whose members include investors, issuers and dealers. With more than 20 years' experience in the securitisation markets, Watson is in a good position to assess the significance of the recent deals and to offer his thoughts on what else needs to be done to restore investor confidence.