Traduction de «Obligation structurée adossée à des prêts » (Français → Anglais) :

In my view, coming to Canada to make the case against mandatory minimum drug sentencing should be as unnecessary as travelling to a business school to explain why investors should avoid collateralized debt obligations, the derivative instruments that have nearly brought down the world's financial system.

89. Calls on the Commission to investigate how the asset-backed securities market and alternative financing formulas with proper prudential supervision could be leveraged to facilitate SME financing; notes the role that business development and infrastructure banks can play in investing in bank-issued, structured covered bonds, combining such investment with increased SME lending targets; welcomes the proposal of private-private lending partnerships in which an insurance company and a bank combine to provide short and long-term loans;

‘The above provisions concerning close links do not apply to: (a) close links between the counterparty and an EEA public sector entity which has the right to levy taxes, or in the case where a debt instrument is guaranteed by an EEA public sector entity which has the right to levy taxes; (b) covered bank bonds issued in accordance with the criteria set out in Article 22(4) of the UCITS Directive; or (c) cases in which debt instruments are protected by specific legal safeguards comparable to those instruments given under (b) such as in the case of (i) non-marketable RMBDs which are not securities; or (ii) residential real estate lo ...[+++]an-backed structured covered bank bonds or commercial mortgage loan-backed structured covered bank bonds, i.e. certain covered bank bonds not declared UCITS compliant by the European Commission, that fulfil all the criteria that apply to asset-backed securities, as set out in Sections 6.2 and 6.3 and the following additional criteria (2):

‘Furthermore, for residential real estate loan-backed structured covered bank bonds or commercial mortgage loan-backed structured covered bank bonds, counterparties have to provide legal confirmation from a reputable law firm confirming the fulfilment of the following conditions:

In the case of residential real estate loan-backed structured covered bank bonds:

Second — and I guess I could phrase it as a prediction — is that banks which go to raise capital through the new covered bond framework with bond pools comprising uninsured mortgages probably will find that their cost of borrowing is on the order of 10 basis points higher than they are presently paying to sell bonds backed by insured mortgages.