ECB Tells Banks to Identify the Leverage Providers on SRT Deals

The European Central Bank is probing the use of leverage underpinning banks’ fast-growing significant risk transfer market, according to people familiar with the matter.

By Esteban Duarte, Claudia Cohen, Nicholas Comfort · Bloomberg Markets

The European Central Bank is probing the use of leverage underpinning banks’ fast-growing significant risk transfer market, according to people familiar with the matter.