Insurers Increase Involvement in Bank Default Risk Deals
UKPulse Money Desk
The market for synthetic risk transfers has seen a boom, with insurers now providing banks with unfunded structures to offload default risk.
- Insurers are increasingly participating in deals that allow banks to offload default risk.
- The market for synthetic risk transfers has experienced significant growth recently.
- Insurers are now offering banks unfunded structures for these risk transfers.
Insurers are reportedly increasing their involvement in deals that enable banks to offload default risk. This trend comes as the market for synthetic risk transfers has experienced a boom in recent years.
The growth in this market has led to insurers now offering banks unfunded structures, facilitating the transfer of default risk.