ABS drive, to the point

The next ABS purchases program is expected to be of 250bn€ in three years maximum, €7bn per month. According to JP Morgan analysts, it would only include senior, non-retained asset-backed securities.

Although it is not expected that Mr Draghi announced that the program will include the ABS retained by the banks or the riskier mezzanine tranches, the Anglo-Saxon press spoke of the possibility that the ECB could buy corporate bonds and certificates that have a rating of less than BBB. This would especially benefit the peripheral bonds and very especially Greece’s and Portugal’s, whose ratings are B and BB respectively, as well as financial institutions.





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The Corner
The Corner has a team of on-the-ground reporters in capital cities ranging from New York to Beijing. Their stories are edited by the teams at the Spanish magazine Consejeros (for members of companies’ boards of directors) and at the stock market news site Consenso Del Mercado (market consensus). They have worked in economics and communication for over 25 years.

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