Moody’s said it expects growth in the CDO market to continue to be driven by synthetic rather than cash transactions. Synthetic deals accounted for approximately 96% of the European CDO market in 2002, according to the rating agency. “Other CDO trends likely to persist include the securitisation of esoteric assets and the growth in multi-jurisdictional deals. The latter has already had the effect of contributing to a sharp drop in CDO deals in the UK in 2002,” added Moody’s.
The week on Risk.net, July 7-13, 2018Receive this by email