4 days ago
EU Eyes Capital Relief for Insurers to Spur Asset-Backed Market
The European Commission is considering reducing the capital that insurers must hold against investments in asset-backed securities, part of a broader effort to revive a €1.2 trillion ($1.4 trillion) market that can finance areas like housing, energy, and defense.
The reduction would be as much as 40% in some cases, according to a document being discussed with a panel of experts, with the size of the cut depending on the credit rating and whether the transaction complies with a framework for securitizations.
