RT Journal Article SR Electronic T1 Asset-Backed Commercial Paper:
Back to the Core JF The Journal of Structured Finance FD Institutional Investor Journals SP 105 OP 108 DO 10.3905/jsf.2014.20.1.105 VO 20 IS 1 A1 Stephen Ceurvorst YR 2014 UL https://pm-research.com/content/20/1/105.abstract AB In this panel, the speakers described certain aspects of the historical growth and decline of the asset-backed commercial paper (ABCP) market. In addition, they addressed how that history has led to new regulations that challenge ABCP sponsors, and how some sponsors are meeting those challenges head on. The panel concluded with a modest but optimistic outlook for the future growth of ABCP as a result of a return to the core-value proposition of ABCP conduits for financing the real economy. The regulatory reaction to the credit crisis has been a tidal wave of regulation nominally intended to prevent another credit crisis and resulting in both intended and unintended consequences. The new rules do not differentiate between an arbitrage-based structured investment vehicles (SIVs) and ABCP conduits that provide liquidity to corporations. Managers of ABCP conduits are responding with innovations that address the rules head on while still preserving the economic benefits of securitization for their clients.TOPICS: Asset-backed securities (ABS), legal and regulatory issues for structured finance