Reuters: Large Banks More Likely to Use, Benefit from CRT

Citing a recent survey of 69 U.S. banks, Reuters notes that 15 banks of the total 69 banks surveyed conducted credit risk transfer (CRT) transactions, with those institutions achieving a median Common Equity Tier 1 (CET1) capital ratio increase of 25 basis points. Of the surveyed banks, 42 percent of banks with assets over $100 billion engaged in CRT transactions, while only 9 percent of banks with assets under $100 billion did so. The survey noted that additional issuance is expected in 2025, both from institutions that had already issued CRT this year as well as from new issuers.  

Read More