China and CDOs

Expect more issuance of collateralized debt obligations from China this year says rating agency.
Fitch Ratings expects more issuance of collateralized debt obligations CDOs from China this year after the country's first CDO was launched at the end of 2005.

The transaction represents the first official step towards the development of a CDO market in China and paves the way for more CDO issuance in the country this year and in the near future, says Charles Chang, Fitch's Director of Structured Credit for Asia Pacific.

There are also policy reasons to encourage more CDO launches. Chief among these is the need to reduce the concentration of the country's credit risk in the banking system, which has become substantially pronounced in recent years as China increasingly relied on bank...
¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222