A typical securitisation would involve, along the way, the creation and sale of derivatives based on the securitised exposures, further increasing the fee-earning potential of the underlying origination in an environment of voracious demand for risk. “Originate to distribute” enabled a greater amount of credit creation to be supported by the same amount of financial system capital.
More specifically, in the United States growth remained robust, expanding at an annual rate of 2.0% in the first quarter of 2018, having increased by 2.9% in the fourth quarter of 2017. Growth in 2017 marked the eighth successive year of positive growth in the United States, compared with four consecutive years of positive growth in the euro area.