The International Organization of Securities Commissions (IOSCO) Technical Committee has published Unregulated Financial Markets and Products - Consultation Report prepared by its Task Force on Unregulated Financial Markets and Products.
The Report contains interim recommendations for regulatory action designed to improve confidence in the securitisation process and the market for credit default swaps (CDS).
The Task Force was established by the Technical Committee in November 2008 in response to concerns expressed by the G20 regarding the crisis and the pivotal role that certain unregulated market segments and products had played in the evolution of capital markets.
The interim recommendations contained in the Report address issues of immediate concern with respect to securitised products, including asset-backed securities (ABS), asset-backed commercial paper (ABCP) and structured credit products such as collateralised debt obligations (CDOs), synthetic CDOs, and collateralised loan obligations (CLOs); and CDS.