The International Organisation of Securities Organisations has published “Global Developments in Securitisation Regulation” which proposes a series of recommendations aimed at ensuring securitisation markets development, but on a sound and sustainable basis.

As reported above, the Financial Stability Board is in the process of reviewing reforms of securitisation markets, as part of its ongoing work for the G20 on the shadow banking sector. In this context, the FSB requested that IOSCO conduct a stock-taking exercise on certain aspects of securitisation, including risk retention, transparency and standardisation and develop policy recommendations as necessary.

This Report:

  • Makes observations about the role sound securitisation markets can play in supporting economic growth and the role regulation can play in reducing systemic risk and restoring investor trust and confidence;
  • Provides a snapshot of the global securitisation markets;
  • Summarises key themes, observations and issues coming out of the responses to the Consultation Paper in relation to approaches to risk retention, transparency and standardisation;
  • Makes recommendations in relation to risk retention, transparency and standardisation; and
  • Identifies other medium or longer-term priorities for policy consideration.