Newsletter March 09: European lawmakers vote for securitisation retention

BRUSSELS – A rule allowing European investors to purchase structured credit products only if the originator retains 5% of the issue now seems almost certain to become law in the EU. This rule is included in the revised Capital Requirements Directive (CRD) that was approved by the powerful Economic and Monetary Affairs (ECON) Committee of the European Parliament on March 9. The last hurdle for the CRD is a vote of the full Parliament towards the end of April, when the directive is expected to pass without much further change.