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-2017. We find that larger entities that already engage in international capital markets are more likely to have derivative … engage in derivative markets. The characteristics of these bank sponsors are important in determining SPEs' engagement in … derivative markets. SPEs' heavy reliance on debt finance coupled with their strong interconnectedness with bank sponsors …
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Asset-backed securities (ABSs) and covered bonds (CBs) are structured finance instruments that require a range of key services, which may be provided by many firms. However, despite the prevalence of structured finance instruments in Europe, the network between issuers and service providers has...
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This paper develops a theory of the secondary market trading of financial securitities in which endogenous asset market dynamics generate periods of growing aggregate credit volumes and falling credit standards even in the absence of "financial shocks." Falling credit standards in turn lead to...
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