The ACC's Jiri Krol on why securitisation rules need changes
Manage episode 461092401 series 3550296
Last year, the European Commission launched a consultation seeking feedback on the functioning of the EU Securitisation Framework. Among those organisations submitting a response to this was the Alternative Credit Council, the body representing private credit asset managers led by global head Jiri Krol.
The Private Debt Investor Podcast caught up with Krol to find out what was at the heart of the ACC’s response. The organisation believes there was an “overreaction” after the global financial crisis, placing severe regulatory burdens on the securitisation market, including the likes of private credit firms as well as banks and insurers.
Krol believes a thriving securitisation market will provide welcome additional liquidity and a boost to the real economy, and he makes the case for deregulation in the face of unreasonably high demands in areas such as due diligence and transparency.
The discussion also includes reflections on the ACC's latest Financing the Economy report, including the revelation that private debt has now become a $3 trillion industry.
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